Thatta Cement Pakistan to set up Cement Plant in Hambantota
Shirajiv Sirimane in Hambantota
Thatta Cement Company (Pvt) Ltd, Pakistan will construct a Cement
Grinding and Bagging Plant at Magam Ruhunupura Mahinda Rajapaksa Port (MRMRP).
Muhammad Fazlullah Shariff - CEO and Vice Chairman of Thatta Cement
Company Limited, Karachi Pakistan speaking to Daily News Business from
MRMRP said that this is the first time that the company commences
operations outside Pakistan.
He said that while the global demand for cement is around 3% annually
the Sri Lankan demand is around 4%.
Dr. Priyath B.Wickrama, Chairman of SLPA and Muhammad
Fazlullah Shariff, CEO and Vice Chairman of Thatta Cement
Company Limited, Karachi Pakistan exchanging the agreement
in the presence of Rohitha Abegunawardhena, Minister of Port
and Highways (Project). R. W. R. Pemasiri, Secretary,
Ministry of Ports and Highways, Anuradha Wijekoon,
Additional Secretary (Ports) of the Ministry of Port and
Highways, Indika Karunajeewa, Vice Chairman of SLPA, Capt.
Nihal Keppetipola, Managing Director of SLPA, Norman
Weerarathne, Additional Managing Director of SLPA, Dr.
Sanjaya Sedara Senarath, Executive Director of SLPA, F.
Ibrahim, Consultant and the local partner of the Thatta
Cement (Pvt) Ltd and Nasim Beg of the Board of Directors of
Thatta Cement Company Limited in Pakistan of SLPA look on |
“However we have noted that the demand for Cement in the Hambantota
area is around 8% and this was the main reason for them to set up
operations in Hambantota,” he said. He also said that when even an
international airport and a harbour is set up in one year a similar
demand is witnessed.
The proposed plant will employ a closed circuit cement grinding mill,
cement and packing plant for cement manufacture and dispatch.
The total investment is concluded as US $ 15.15 million to be
incurred during the first five years of operation.
At the commencement minimum guaranteed production volume of the plant
will be 100,000 Mt/ year and it will be increased gradually up to
1,000,000 Mt/ year at the end of first decade.
Thatta Cement Company (Pvt) Ltd is the local subsidiary company of
Thatta Cement Company Limited in Pakistan.
He said that the project would commence mid this year and operations
are expected to commence next year. “The project would generate 50
direct employment opportunities.”
This Business Venture Agreement with the Sri Lanka Ports Authority
would be for a period of 25 years.
Land allocation for this business venture will be four hectares and
that will generate minimum revenue of US $ 9.9 million over the 25
years, via a land lease agreement.
In addition to that by royalty payment Sri Lanka Ports Authority (SLPA)
will earn US $ 65.5 million over 25 years. SLPA will achieve more
benefits via this project as it generates number of vessel movement at
the port. Since Thatta Cement is willing to employ more than 150 Sri
Lankans, the project is worth to our country from that angle too.
In addition to this venture, Hayles Advantis Ltd (Fertilizer Bagging
Plant), McLarnes Holdings Ltd (Warehousing), Agalawatta Plantation PLC
(Warehousing) and ACE Distripaks (Pvt) Ltd (Warehousing) have expressed
interest to commence business at MRMR Port zone. |