Ceylon Ocean Lines turns 50

by Elmo Leonard

Ceylon Ocean Lines, Ltd (COL) last week celebrated 50 years in business. It was set up in 1956 to carry, to and fro, rubber from Sri Lanka to China and rice from Chinese ports to Colombo, under the now historic Rubber Rice Pact. Today, COL is a holding company with diversified interest in real estate, shipping, logistics, capital market and the leisure sector.

From April 1, COL is managed by COSCO Lanka (Pvt) Ltd, its joint venture partner. COSCO had been COL's main agency for more than four decades, COL chairman, U. Jayasinghe said.

Chinese national and outgoing managing director of COSCO, Lanka, Xu Zhibin said he left his heart behind, in fond memory when returning to his motherland, and will continue to build business acumen between the two joint venture partners.

Zhibin, marked a presence of six years, being the country representative for COSCO, before turning managing director, in April. Jayasinghe said that Zhibin's worthy contribution was representative of a catalyst role played in setting up COSCO Lanka. His successor is Zhang Xiaobin.

The celebrations, recognised the "steadfast performance" of the employees. Those with long years of service received awards.

Tribute was paid to those members including those who were not there for the felicitation, who helped the company achieve the current position in the shipping agency business.

Chairman Jayasinghe paid tribute to stalwarts present such as K.S.B. Nugawala, Sanan Gunasekera, Capt Ryle Mendis, Siva Selvaratnam, Capt A.V. Rajendra. Also, to director general manager, L.J. Udakumburage, who is 23 years with the company.

Special mention was also made of Capt Lester Weinman, the main stakeholder and executive director who was said to continue in inspiring and guiding the company's achievements to success, growth and the wellbeing of the staff and the company.

COL, incorporated August 22, 1956, primarily as a shipping agency business, witnessed "phenomenal growth" of business having secured the agencies of COSCO, China, DSR, Germany, Black Sea Shipping, Baltic Orient Lines, Azov Shipping, USSR, Polish Ocean Lines, Navrom Constanza and Romania, Navibulga Shipping, Bulgaria.

Thus, the company became one of the leading shipping agency houses in Sri Lanka handling more than one ship every day of the year in the Port of Colombo.

Political and other changes in the 1980's in the Eastern Block countries resulted in disintegration of some of the prominent shipping lines represented by the company and thus experiencing a turbulent business climate.

The state sector participation which commenced in 1972 with the advent of the licensing of Shipping Agencies Act, ended in 1993. Then, the Ceylon Shipping Corporation diverted in 40 percent stake and the company reverted to full private ownership, Jayasinghe said.

The company's significant development was the construction of a modern office building in 1992, at the prestigious Nawam Mawatha business complex. The company also has a stake of 50 percent in hotel Bay Beach, Weligama.