Tokyo Cement’s investment expansion a direct nod to Govt policy
Sri Lanka’s Colombo Stock Exchange (CSE) listed Tokyo Cement Company (Lanka) PLC stated that they have entered into an investment expansion agreement with the BoI, reflecting their appreciation towards the Government’s farsighted decision to encourage the local manufacturing sector. According to the statement, the company recently announced plans to increase local production capacity by a further one million metric tons with an investment of US$ 12 Million.
“The investment received the green light from the Chairman and the Board of Directors of Tokyo Cement Group, as a show of confidence towards the President’s and the Prime Minister’s bold decision to encourage and uplift local manufacturers,” it stated.
With the introduction of restrictions on unnecessary imports, the economy has been able to curtail the outflow of valuable foreign exchange, enabling local manufacturers, in almost every sector, to pursue their long-term growth plans with greater confidence.
It also stated that, Tokyo Cement’s decision to boost production directly reflects this positive outlook, encouraged by the Government’s pragmatic policy stance.
The new investment will significantly enhance local value creation; with the addition of more direct and indirect employment opportunities, compounded by the thousands of ancillary product and service suppliers supported through local cement manufacturing, setting off a ripple effect of economic benefits as envisaged by the Government.
“The added capital will push up the installed capacity at the Tokyo Cement Factory in Trincomalee, reinstating the Company’s readiness to cater to the future growth in demand of the local construction industry,” it stated.
With an 18-month expansion plan Tokyo Cement will increase the production of Tokyo Super, Nippon Cement and Nippon Cement Pro, market leading brands of Ordinary Portland and Blended Hydraulic Cements, using state-of-the-art advanced technology.