New Rs 50 m bicycle plant for Vavuniya

Ramani Kangaraarachchi

One of the leading bicycle manufacturers in the country, Hanian Lanka will launch a Rs 50 million worth project to produce and supply bicycles to the North and East of Sri Lanka in conjunction with the Indian High Commission shortly. Hanian Lanka Chairman Amal Suriyage told Daily News Business the bicycle manufacturing plant will be set up in the next six months on a half acre land in Menik Farm in Vavuniya. The plant will include two modern assembling lines able to produce 100 bicycles a day.

This project will not only facilitate transport, but also create sustainable and attractive employment for residents of low income communities. It will provide employment to 50 people in the area initially and training for skilled and unskilled workers will be provided with the help of Industrial Development Board. Suriyage said the production process will consists of two phases and phase one is Indian High Commission’s 10,000 bicycle project.

Under this, the complete bicycles in CKD (completely knocked down)form imported from Atlas cycles of India will be assembled in Vavuniya.

The process will be only assembling, packing, quality control and transporting in the first phase and 10,000 bicycles will be completed within six months.

Phase two will be conversion of phase one into a permanent bicycle manufacturing unit at the IDB Industrial Zone in Vavuniya. Hainan will start manufacturing the parts and assembling the bicycle during this period anticipating the production of 48,000 bicycles within two years.

Decentralizing the industry will support the government’s development policy of the north and east. He said this project will help bring the producer closer to the consumer by bringing down the cost of a bicycle.

The number of employees will be increased to 75 during the second phase and they will be trained to manufacture semi processed bicycle parts and assemble them to a complete bicycle.

The company will have a buffer stock of 2,000 bicycles at any given time in Vavuniya in complete knocked down form.

The ZOA of Netherlands is facilitating this project.

“The project will promote entrepreneurial skills and self-employment opportunities to young people providing sustainable livelihood to the community as per the government development plan,” Suriyage said.