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Tristar Apparels to begin operations in east
Sep '09
Mr Kumar Dewapura
Mr Kumar Dewapura
A big apparel exporter of Sri Lanka, 'Tristar Apparel Exports' has set up a new 50,000 sq. ft. factory in Trincomalee, capital of Eastern province. The major baby-wear product of the company has remained unaffected by the economic slump, in terms of demand, said the chairman of Tristar.

The new manufacturing unit has got its first order of 500,000 pieces of baby-wear from UK's Debenhams. Presently, the company has many orders from the UK, informed Mr. Kumar Dewapura, Chairman, Tristar Apparel Exports.

The company that also manufactures fashion garments has many orders due to its low prices and high efficiency. Apparels can be produced at the right price, provided you have tight control on cost and operations, he said.

About 50 percent of the company's 15 factories across the island manufacture baby-wear and since these are basic products of clothing, they have not witnessed any sort of demand plunge in the key markets of west, added Mr. Dewapura.

He further said that baby-wear products always witnesses demand and is also a volumes business and the fashion garments business of the company also remained unaffected, since those who can afford, will always buy, irrespective of recession.

The company was also unfazed by Sri Lanka's prospect of losing duty-free access to the EU markets under GSP Plus due to the allegations of human rights abuses as the export of baby-wear to UK is duty-free, informed the Chairman.

The EU is reviewing the GSP Plus program given to Sri Lanka, and would be renewed subject to, compiling with the criteria on goods governance, work ethics, and environmental protection. This program is up for renewal by year end.

Companies get a five-year tax holiday when a factory is up in trouble-prone areas. The company has received a loan of 50 million from the investment promotion agency and Board of Investment, to build a factory.

Cost of the factory is Rs. 75 million without land, which has been leased from the government, and more than Rs. 100 million has been spent on machinery by the firm. The factory will provide employment to about 1000 youth, majority of whom will be girls.

Fibre2fashion News Desk - India

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