Sri Lanka seeks Indian investor for Colombo port

Sri Lanka is seeking an investor from India to build and operate a container terminal in Colombo port, amid a strong Chinese presence in the port.

Ports Minister Arjuna Ranatunga said they would like to see an Indian investor take at least a 20 per cent stake in a consortium that will run the 'East Terminal' of the expanded deep draught South Harbour of Colombo Port.

"We would like to see an Indian investor take at least a 20 per cent stake," Ranatunga told members of Sri Lanka's Foreign Correspondents Association yesterday.

"More than 60 percent of Colombo's transshipment cargo comes from India," Ranatunga said.

Sri Lanka Ports Authority had spent USD 80 million to build 430 metres of a 1200-metre terminal, he said.

Ranatunga said another USD 400 million would be needed to complete the terminal.