UK Logistics Giant Goldstar Transport Sets up a Joint Venture in Sri Lanka. Transport & Logistics Contribute 10pct to Sri Lanka’s Economy

20th March 2011, www.island.lk

UK based logistics giant Goldstar Transport is bullish on Sri Lanka believing the post-conflict economic boom provided plenty of opportunities and the island has the potential to become a logistical hub in the region.

"The transport and logistics sector contributes 10 percent to Sri Lanka’s economy and accounts for 12 to 14 percent of employee participation out of the total workforce. With the post war economic boom in Sri Lanka an expansion in transportation will boost economic activity and create more job opportunities and additional value to the country, Goldstar Transport Ltd said in a joint statement announcing a joint venture with Global Transportation & Logistics (Pvt) Ltd to form Goldstar Transport Lanka (Pvt) Ltd at Global Park in Seeduwa recently.

Goldstar Transport Lanka is Head Quartered in Sri Lanka at No. 182, Negombo Road, Liyanagemulla, Seeduwa and is headed by Ravi Karuanayake MP as its Chairman and Simon Day as the Managing Director. They both have a vision of making Goldstar Transport Lanka, Sri Lanka’s leading transport operator and the logical choice for customers whether they are a freight forwarder or a manufacturer that needs help in transportation in Sri Lanka.

The Chairman of Goldstar Transport Lanka, Ravi Karuanayake, having started his career in the freight forwarding industry 22 years ago, also ventured into logistics 11 years ago. This lead to the opening of the global park, which is a Sri Lanka-based Logistics Centre and ‘Hub’ fully bonded with ‘State of the Art’ finishing facilities to the Apparel Industry. It is today a major warehouse in the region, providing customers the necessary quality standards that are described as being par excellence by their worldwide clientele that includes at present many leading global brands.

Karunanayake, who is also a United National Party MP, said that Sri Lanka was well placed in both the shipping and aviation routes and this provides a tremendous opportunity to the transportation industry.

"Today we need to have wider perspectives and use smarter initiatives to put Sri Lanka back on the world map .With the vast potential from aviation to navigation and from cargo transportation to logistics, we must aim to make Sri Lanka a giant hub and attract new business to become a global hub in logistics services," the opposition MP said.

Director Matthew Ashworth said he was extremely excited with this new venture and strongly believed that Goldstar Transport Lanka will make a big impact in the transport industry in Sri Lanka.

"Goldstar Transport Ltd was formed in 1998 by a management team that had a proven track record in large volume, multi-customer container transport. They currently have an annual turnover in excess of £60 million and regularly handles over 900 movements per day for a varied customer base from major shipping lines to smaller niche market operators specializing in refrigerated soft fruits, footwear and class one fireworks. Goldstar Transport’s new Traffic System, offers direct customer job input, online tracking of delivery’s and real time updates of delivery progress..Goldstar Transport has large volumes ,operating for all the major freight forwarding companies in the world." Ashworth said.

The company said its Sri Lankan operation has a quality fleet of Mercedes Benz prime movers not previously seen in Sri Lanka. The company has superior systems and technology such as IT systems that enable electronic data transfer, online real-time tracking of jobs and instant online POD facility providing customers accountability and attention to detail. With their biggest strength being their professional and dedicated staff, the company is confident by combing the strength and strategies of both organizations, they can become one that is on the forefront of the transportation industry in Sri Lanka, the joint statement said.

FPS Lanka for Operations at Southern Port of Hambantota and Eastern Trincomalee Harbour to Handle Post-war Reconstruction Cargo

29th December 2010, www.lankabusinessonline.com

Sri Lankan logistics firm FPS Lanka is considering setting up offices in the new southern port of Hambantota and in eastern Trincomalee harbour to handle an anticipated influx of cargo flows for post-war reconstruction.

It expects new logistics contracts to be awarded in the first quarter of 2011 as projects get finalised, FPS Lanka managing director Gihan Nanayakkara told LBO in an interview.

The firm is a joint venture between Bertling Logistics India and Famous Pacific Shipping which got together to offer logistics services, especially given the expected increase in cargo flows for post-war reconstruction and growth.

Sri Lanka's 30-year ethnic war ended in May 2009 resulting in an economic boom, with growth forecast to hit eight percent this year, along with a sharp increase in tourists. Nanayakkara said the joint venture is the first time the parent firms are collaborating and the partnership could be extended to other locations if necessary.

Sri Lanka embarked on huge infrastructure projects even before the war ended, with several highways, railways, power plants and high-rise buildings being built along with an airport and port in Hambantota and another port in Colombo.

Hambantota port was opened only a month ago and lies close to the main maritime trade route.

Nanayakkara said Bertling its own fleet of ships, including heavy lift ships, and can provide the specialised heavy lift skills needed for post-war Sri Lanka where such skills are in short supply.

Nanayakkara said the joint venture has access to skilled personnel and equipment in south Indian ports and can take only a few days to mobilise.

The company is also considering business opportunities in the Maldives where a tourism revival means more resorts are being built.

"Every island resort has its own harbour basin which means dredging, a pier, and transport of almost all supplies by air or sea," said Nanayakkara.

In Sri Lanka, while some major projects are under construction many more are in the pipeline with logistics contracts to ship the supplies required expected to be awarded in the first quarter of 2011.

One project the FPS Lanka joint venture supplied was the 300MW power plant in Kerawalapitiya, on the north-west coast.