Sri Lanka’is now ready to lease land from industrial estates for 35 years to 16 investors expecting over 4.5 billion rupees in investment and over 2,400 direct employment opportunities.
The cabinet of ministers has cleared the award of state land in regional industrial zones to to 16 investors, Cabinet spokesman Minister Bandula Gunawardana said.
The awards were recommended by regional industrial services committees and a project evaluation committee of the Ministry of Industries, he disclosed
The cabinet had cleared a proposal by Minister Ramesh Pathirana to award the lands to the investors. The land will be given on 35 year leases, Minister Gunawardana said.
A cabinet statement said a project evaluation committee of the Ministry of Industries had studied project proposals and recommended that land be allotted from 16 industrial estates for their implementation.
“Regional Industrial Estate Program is a major program implemented with the objective of regional level industrial development.
Selection of appropriate investors for the programme is done after a thorough evaluation of the Project proposals by the ‘Regional Industrial Services Committee’ established under the Industrial Promotion Act No. 46 of 1990 and the ‘Ministry Project Evaluation Committee’ maintained under the Ministry of Industry,” the statement said.
“Selected investors are expected to invest Rs. 4,523.34 million and to generate 2477 direct employment opportunities
“The government has allocated land in industrial zones for investors unable to purchase lands and build factories on their own,” said Gunawardena, speaking at the weekly cabinet press briefing on Tuesday11.
Small and Medium Scale Enterprises (SMEs) make up a large part of Sri Lanka’s economy, accounting for 80 per cent of all businesses.
There are SMEs in the agri-business sector engaged in growing spices, fruits and vegetables and in the manufacturing sector engaged in numerous industrial activities accounting for about 20 percent of industrial establishments.
In the service sector, SMEs accounts for more than 90 percent of business establishments and SMEs are an essential source of employment opportunities and are estimated to contribute about 35 percent of employment in the country.
Priority will be given for project proposals of investors who are in the SME sector , he said, adding that this will be an impetus for this sector grappling to survive in the economic crisis.
