Hambantota Special EPZ to promote coconut-based agro-ecosystem
File picture of a coconut vendor.
Aiming to give a push to value addition in the coconut sector the government will set up a specialised Export Processing Zone (EPZ) dedicated to coconut related industries in Hambantota, one of the key areas in the Southern coconut triangle.
This triangle would consist of Embilipitiya, Hambantota, and Monaragala under a massive coconut cultivation drive where the Coconut Industrial EPZ gets high priority, a top official of the Coconut Development Authority (CDA) said.
The modalities in the setting up of this new zone are now being worked out in consultations with the relevant agencies including the Board of Investment, CDA Chairman Keerthi Sri Weerasinghe disclosed, adding that they hoped to attract a total of US$1 billion in investment to the 400-acre zone.
It will create more than 15,000 direct and indirect employment while providing many benefits for the community engaged in coir production and handicrafts as well as very small scale coconut cultivation in home gardens in the South.
The Italian government has expressed willingness to extend its assistance for the establishment of Hambantota Coconut Export Processing Zone, he added.
This assurance was given by the Ambassador of Italy in Colombo Rita Giuliana Mannella during a discussion with the CDA chairman recently.
The Italian Ambassador has also responded positively to a request for attracting investors to set up joint ventures at the EPZ in manufacturing value added coconut products.
Italy has already offered assistance for rural development and agriculture projects; he said adding that other areas such as food processing, coconut industry development were also discussed as potential areas of future cooperation.
Local industrialists will also be given an opportunity to invest in this zone as they have inherited expertise in the industry for decades, he said.
With the aim of contributing their share to meet the growing demand for value added coconut products, leading local industrialist, Tropicoir Lanka Group along with its subsidiaries Tropicoir Lanka (Pvt) Ltd and Euro substrates (Pvt) Ltd is implementing a 100,000 coconut tree planting programme countrywide.
Tropicoir Lanka has taken this initiative of distributing coconut seedlings among small growers to grow at least three coconut trees in a home garden depending on availability of land, Managing Director of the company Dinesh Fernando said.
Measures will also be taken to encourage people to conserve coconut residues as it will be used for value added products at the new EPZ.
Also, the brown coconut Testa, coconut water, coconut shell, and coconut husk could be further processed to value-added product manufacturing.
A 30 percent wastage can be reduced if the 1.8 billion coconuts is further processed at factories and good quality, safe, and value-added products supplied for domestic consumption.