Major contributor to employment opportunities, exports and import substitution

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BOI’S Kandy Industrial Park

The Board of Investment of Sri Lanka’s Kandy Industrial Park (KIP) is located in Kengalle, Kundasale Divisional Secretariat in the Kandy District, in the Central Province of Sri Lanka. The Industrial Park became operational in 1995 and its total extent is of 207 acres, of which 85 acres are dedicated to industrial use. A total of 75.5 acres of land in the industrial area are already utilised and productive.

The working population in the Industrial Park currently stands at 8,506 of which 71% are women.

The advantages of the Zone for enterprises are facilities including the security, lighting, excellent communications as well as power supply and the availability of solar power and pipe-bourne water. In addition there is a centralised administrative complex linked to the relevant departments of the BOI as well as other important facilities such as Investor Services, banking, postal and port cargo handling services.

Currently 26 enterprises are located at the Industrial Park, and the main sectors represented include the manufacture of garments, pharmaceuticals, cosmetics, panel boards and agro-processing.

Among the enterprises located at the Kandy Industrial Park is Celogen Lanka Ltd. which has recently built a $ 6.6 million plant at Pallekelle. This BOI project is a joint venture between Sri Lanka and India.

Celogen’s pharmaceutical plant manufactures a wide range of medical tablets including metformin, Losartan potassium and Atorvastatin capsules.

This plant plays a vital role to the country since it contributes significantly towards import substitution of pharmaceutical products. Sri Lanka imports annually $ 1 billion worth of pharmaceutical products. Another company located at the Kandy Zone is 4EverSkin Naturals Ltd. which is an enterprise engaged in the manufacture of well-known cosmetics products including face washes, body milks, creams and cleansing milks.

Another significant enterprise located at the Kandy Industrial Park is Elsteel Ltd., a company engaged in the production of a wide range of steel products including modular enclosures for buildings, LD panel boards, switchboards, motor control centres and power distribution units. Contributing a total of $ 93 million worth of direct exports earnings in 2017 and an additional $ 3 million in indirect exports, the Kandy Industrial Park has emerged as a major economic centre in the Central Province and an important contributor to the National Economy.