Lankabusinessonline, Apr 11,’16
Sri Lanka’s Board of Investment has helped to secure land for the setting up of a Volkswagen assembly plant at the Kuliyapitiya area in Sri lanka. This land will be taken over by the BOI and would be formally handed over by the investment promotion agency to M/s Senok Automobile (Pvt) Ltd., for the assembly of cars manufactured by Volkswagen AG, the renowned German Company.
The investor will assemble vehicles in the 1000 cc to 2000 cc category and these vehicles will be diesel powered and include passenger cars, SUV, MUV or commercial vehicles. Initially these vehicles would be marketed locally for a period of 3 years and thereafter to overseas markets.
There is also potential to export petrol/electric/ hybrid vehicles built without the concessions given for assembling diesel vehicles. The total value of this project is an investment of 26.5 million dollars of which 21.5 million will be invested in fixed assets within a period of 24 months.