Ports Authority confirms international joint venture

COLOMBO (News 1st) - News 1st reported of a joint venture project undertaken by Sri Lanka, Japan and China to develop the East Terminal of the Colombo Port. The Port Authority issued a communique on the report. The communique confirms that there is a Memorandum of Cooperation between Sri Lanka, Japan and India for the East Terminal of the Colombo port. Sri Lanka Port Authority(SLPA) believes the envisaged new partnership will help the Port of Colombo to continue its growth and further improve its competitiveness by opening itself to the world. The release stated that SLPA retains a 100% of the ownership of East Container Terminal. It adds that a company named "The Terminal Operations Company" (TOC) would be established and Sri Lanka would retain 51% while the balance shares are purchased by joint venture partners. The media release also mentioned that the Japanese loan is one of the most favourable loans to Sri Lanka. However, this fact is yet to be confirmed as the terms and conditions of the loan are still awaiting formalization. The media release concludes with "the global cargo trade is a highly competitive, fast-paced, rapidly evolving industry, that requires ports to adapt and evolve in their capacity, execution and services. The envisaged MoC is a significant step in ensuring that the Colombo port delivers on these goals in an agile manner."