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Incentives attract apparel makers to Sri Lanka's Jaffna region
Oct '11
The Jaffna region in Sri Lanka's Northern Province is attracting apparel manufacturers due to incentives being provided by the Government after the return of permanent peace in the area.

The Jaffna Regional Branch of the Board of Investment (BOI) is promoting the Northern Province as a preferred area for industrial investments and will shortly introduce new incentives package, according to J Jeyamanon, Deputy Director at BOI Jaffna Regional Office.

Currently, there is a vacuum for investment projects in the Northern Province, but there are immense opportunities for entrepreneurs to set up new businesses, he stated.

Since the foreign participation in new investment projects is presently small, the BOI is making efforts to provide incentives to overseas entrepreneurs to bridge the gap, he added.

He disclosed that many apparel companies have sought permission from BOI to increase their operations in the Northern Province. MAS Active has already finalized a location in Aradiyanagar to construct its garment unit, he said.

Mr. Jeyamanon further said that MAS Linea has also shown interest to increase its operations to the Kilinochci area, and is currently trying to identify a suitable location. Further, Ferguson and Timex Garments will be establishing their factories in Mannar, while Orit Apparels and Omega Line Limited will set up their factories in the Vavuniya area, he added.

Experts estimate new investment in the Northern Province to cross the US$ 10 million mark, including the investment in the apparel sector from both small and high-end entrepreneurs.

Fibre2fashion News Desk - India

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