Sri Lanka’s Ocean Lanka sees revenues grow, backed by cleaner production

ECONOMYEXT – Sri Lanka’s Ocean Lanka (Pvt) Ltd, the island’s largest weft-knitted fabric factory is boosting revenues as it ties up with a Swiss-based consultancy to limit environmental fallouts and clean up is production.

In 2018, the firm had earned revenues of 16.5 billion rupees and profit margin of 23 percent.

“We achieved our last year target of 100 million US dollars,” Nawas A. Rasheed, Divisional head, Research and Development at Ocean Lanka said on November 19, in Colombo.

“This year we have already achieved that amount so our target is to increase it much more.”

Ocean Lanka was set up in 1996 as a joint venture between Hong Kong-based Fountain Set Holdings and Sri Lanka’s Brandix and Hirdramani apparel groups.

Fountain Set Holdings has a 60 percent stake and Sri Lankan partners have 20 percent each.

It products are used by global brand such as Victoria Secrets, Nike and Adidas.

Ocean Lanka is partnering with Swiss-based Bluesign Technologies Company, which certifies environmental standards on chemicals and material used in manufacturing industries.

“Ocean Lanka remains committed to reducing the adverse impacts induced on the people and environment,” Austin Au, Managing Director Ocean Lanka said.

The Bluesign System certifies that only approved chemical products and raw materials are used in manufacturing processes and eliminates substances that is harmful to people and the environment.

“…Bluesign ensures that harmful practices are eliminated from the very beginning,” Walter Streitler, Director Sales for Asia and Oceania said.

“Apart from reducing risks, the Bluesign, encourages its system partners to continuously improve safety during the use of chemicals, optimize processes regarding resource consumption and change the product design in terms of environmental impact.”

Ocean Lanka has a capacity to produce 1500 tons of fabric a month. (SB-Colombo/Nov20/2019)