Indian investors losing interest in developing Colombo Port East Container Terminal – The Island

Indian investors losing interest in developing Colombo Port East Container Terminal – The Island

By Keshala Dias

Sep 10, 2017 | 11:16 pm

The Island reported that Indian investors who has expressed interest in developing the East Container Terminal of the Colombo port are losing interest due to the lack of a response by the government for nearly six months.

According to The Island report, three Indian companies had bid for a 20% stake in developing the half built East Container Terminal at the Colombo Port.

The Ports Authority called for Expressions of Interest (EoI), totaling USD 400 million in June last year, to complete the half built East Container Terminal which had cost over USD 80 million.

Development work on the East Container Terminal began in the year 2010.

Chandrasiri Mahagamage, General Secretary -All Ceylon Port General Workers’ Union:

[quote]”..We have completed work on a 450m section of the terminal and the Ports Authority spent a total of 10.8 billion rupees on this project. The civil engineering activities, the electrical aspect as well as preparing the entrances have all been completed. All what is needed to be done is to install the necessary machinery, the Ports Authority has the money to do it, but the minister and the government have no interest in it. The Colombo South Terminal began because we wanted to have a port which could accommodate the large ships that are being built elsewhere in the world…”[/quote]

President Maithripala Sirisena expressed these views during an event held on August 1,  to celebrate the 30th anniversary of the Ports Authority.

[quote]”..I confirm that we will not give the Eastern Terminal of this beautiful and important port to anyone..”[/quote]

Ports Authority trade unions point out that there is no need to award the development project to India as the Ports Authority is capable of carrying out the development activities.

Chandrasiri Mahagamage, General Secretary, All Ceylon Port General Workers’ Union:

[quote]”..We need to spend around 80 million USD to install the machinery. We have this money, but since 2015, the Cabinet is yet to approve the requests that have been made in this regard. Since the Hambantota port was given to China, India is now asking for the Eastern Terminal. Why should we be caught in this ploy? It will only cause harm to the Sri Lankan economy..”[/quote]

[youtube url=”https://www.youtube.com/watch?v=AUtkUahHg6I” width=”560″ height=”315″]

China   Colombo Port   East Container Terminal   Hambantota Port   Indian   Maithripala Sirisena   The Island