The Tamil Tigers built an airstrip in thick jungle at Iranamadu, near an irrigation reservoir, when the area was under their control.
The airstrip was used by the rebels for training for their air wing made up of light aircraft and was bombed several times by air force jets.
The Tigers were crushed in May 2009, ending their 30-year ethnic war in the north and east.
The government wants to develop the airstrip into an aviation complex, training and research institute, Indrasiri told a seminar organised by the Sri Lanka Shippers' Council to brief investors on investment opportunities.
Another former Tiger stronghold in Mullaithivu, on the northeast coast, has been earmarked as a centre for fisheries-based engineering equipment industry and for sea-based and eco-tourism, Indrasiri said.It would have facilities for boat building, fishing gear and ice plants.
The Nanthikadal lagoon in the area, where Tiger leaders made their last stand before being killed by government troops, would be made available for the private sector for hotels and guest houses.