Rs. 710m agreements for three factories signed

Investment agreements amounting to Rs. 710 million for three factory projects under the 'Nipayum Sri Lanka' 300 Enterprise Program were signed at the BOI.

BOI sources said the agreements for the factories were signed to accelerate the 300 enterprise program launched by President Mahinda Rajapaksa. The three factories under the 300 enterprise program are Richard Roberts Kandy (Pvt) Ltd., Benjy (Pvt) Ltd. and Family Care Hospital (Pvt) Ltd. Richard Roberts Kandy (Pvt) Ltd. which took over the assets and employees of Salagam Garments (Pvt) Ltd. will manufacture garments for export.

The factory will commence with an investment of Rs. 710 million of which Rs. 590 million will be FDI and the balance by local investment.

One foreigner and 321 locals will be employed in the project, sources said. Benjy (Pvt) Ltd. will manufacture garments and moulded bra-cups for exports.

Family Care Hospital (Pvt) Ltd. will build a hospital at Walawatta Kalutara.

The 300 Enterprise Program was launched in 2005 to take development to rural areas outside the Colombo and Gampaha districts so that youth in the underdeveloped sectors will be involved in the growth machinery of the country, sources said.

President Rajapaksa launched the program to address asymmetric development that has resulted in an economic and social imbalance. The 300 factory program will create employment opportunities in areas that are in need of development and growth.

The beneficiaries will be small and medium scale enterprises in the country. The new factories that will be set up will revive the rural sector.

(LF)