Swiss firm plans steel shapes manufacturing plant in SL
22 May 2014 05:37 am
Montanstahl AG, a Swiss-based stainless steel shapes manufacturer, is looking to establish a ‘green-field’ project in Sri Lanka, which will be a 100 percent export-oriented firm.
The family-based firm’s Vice President Research and Development ( R&D) Wolfgang Stumm is currently in Sri Lanka looking for partners and a location to set up the plant, which if implemented, will come as a Board of Investment (BoI) project.
Accordingly, Tuesday evening Stumm met with several potential partners in Sri Lanka at the Ceylon Chamber of Commerce (CCC) premises in Colombo. Representatives from the CCC member firms such as Dipped Products PLC, United Tractors & Equipment Private Limited, Serendib Stock Brokers, Entrust Wealth Management and Mascons Private Limited were present at the meeting.
Speaking to the participants, Stumm said Sri Lanka is one out of the few Asian countries shortlisted to set up the proposed special steel shapes plant. He informed them that if Montanstahl AG gets the required land space, right incentives and a solid partner, the project will be soon established in Sri Lanka and it will generate about 100 to 150 jobs.
If the project goes ahead, it will be the first manufacturing facility of Montanstahl AG in the Asian region, which will feed the European and Asian markets such as Japan, Korea and India.
“We want to be competitive in the Asian market and compete with Japan,” Stumm said when asked why they are interested in setting up a plant in the Asian region.
Currently, the firm has manufacturing facilities in Germany and the USA, while an effort to set up a plant in Singapore during the year 2013 was abandoned owing to the high cost involved in setting up a manufacturing plant in that country.
Stumm will be in the country up until May 24, searching for potential locations to set up the factory and also meeting potential partners to join them in setting up the plant.
The latest match-making effort is a part of the CCC’s ongoing programme to help Sri Lanka attract high calibre international investors to the country.