Port Prospects

Oct 14, 2010 (LBO) - The increase in cargo flows from India generated by accelerating economic growth will ensure business for a new container terminal that Sri Lanka's Aitken Spence is investing in, an official said.

"India's economic growth in 2018 is expected to surpass China's," Dissanayake said.
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"When the economy grows they will handle more volumes." "Colombo will continue to be south Asia's maritime hub," said Parakrama Dissanayake, chairman of Aitken Spence Maritime, the conglomerate's shipping business unit.
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"If not Aitken Spence will not invest in the Colombo South Terminal," he told a conference organised by the Chartered Institute of Logistics and Transport.


The 500 million US dollar deep-water South Terminal in Colombo port will have a quay length of 1,200 metres, four berths and 12 cranes with an annual capacity of 2.4 million TEUs.

It will be built and operated on a 35-yar lease by a joint venture consisting of China Merchant Holdings with a 55 percent stake, Aitken Spence with 30 percent and the state-run Sri Lanka ports Authority with 15 percent.



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"The investment is huge," said Dissanayake.

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"It is the single largest foreign direct investment ever to take place in Sri Lanka."

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