Operations at BOI Zone in Eravur get underway with Jay Jay Mills Lanka project
The Board of Investment of Sri Lanka (BOI) is delighted to welcome the textile manufacturing project by Jay Jay Mills Lanka (Pvt) Ltd as the first project to be undertaken at the Dedicated Textile Manufacturing Zone in Eravur, Batticaloa with the ground-up development commencing at the site.
The facility will feature state-of-the-art technology with knitting, dyeing and finishing capacities of 50 tons of fabric per day once in full operation and is designed to adhere to the latest environmentally sustainable norms.
The Company has committed USD 35 million for the project and the facility is planned to be completed in three phases over five years. Commencement of commercial operation of the first phase is expected to be within two years. The new project is to generate 460 direct employment opportunities.
Jay Jay Mills Lanka, the parent company of Jay Jay Textiles Lanka, was incorporated in Sri Lanka as a BOI Company and commenced commercial operations in the year 2004 by engaging in the manufacture and export of Apparel. The ultimate parent company, Jay Jay Mills India is a well-established textile & apparel manufacturer in India with over four decades of experience in the industry and with this investment, the company plans to bring that expertise to Sri Lanka.
The company currently has an extensive network of operations in the country with facilities in Avissawella, Matara, Monaragala, Trincomalee &Mannar with over 9,500 full-time employees.
Expressing the sentiments, Mr. Srikumar, the Managing Director of Jay Jay Mills Lanka said, ‘’The country as a whole will benefit from this project because a major portion of foreign exchange outflow on the importation of fabric can be curtailed to a considerable level by fulfilling the fabric demand of our Group consisting of ten manufacturing plants,”
“Further, this will enable us to improve service levels for our existing and future customers by enabling speed and flexibility, allowing us to win additional business which will greatly benefit the economy of Sri Lanka,” Mr. Srikumar pointed out.
Meanwhile, BOI Chairman Raja Edirisuriya opined“In the context of the current global conditions, disasters and pandemics are frequent and evident. Therefore, international leading brands always look for counter sourcing strategy, which is all about sourcing textiles and clothing from the country of manufacturing. Against this backdrop, the newly unveiled zone is going to be an ideal manufacturing ecosystem for international brands, that are interested in investing in Sri Lanka,”
“The Jay Jay Mills, has been at the forefront in the textile and yarn manufacturing in the world and their decision to invest in Sri Lanka signifies that the country is recognized as a destination, with 360% facilitation of apparel manufacturing in the world,” Mr. Edirisuriya stated.
“Furthermore, this will also provide a solution for the much-needed import substitute strategy implementation of the BOI and the Government of Sri Lanka,” he added
Commenting on the project, BOI Director General Renuka M Weerakone voiced “The 300 acre-Dedicated Textile Manufacturing Zone in Eravur, was established by the government of Sri Lanka as a Strategic Development Project to enhance the textile manufacturing footprint in the country,”
“It is indeed a pleasure and honor to see a giant and renowned company like Jay Jay Mills Lanka joining hands with the BOI. Given the country’s current status, the involvement of Jay Jay Mills Lanka in the zone operation, is sure to bolster the confidence of other local and foreign investors to start ventures in the zone so that they could also make their contribution to the country’s economy,” Weerakone highlighted.