As the vehicle importation has come to a halt due to import restriction, the Cabinet approved the ‘Standard Operating Procedures’ for the production, assembly and manufacture of vehicles in Sri Lanka, prepared by his Ministry, focusing on an expeditious local alternative, which marked a major turning point in the country’s vehicle assembly industry, Minister of Industries Wimal Weerawansa said.
Following the cessation of vehicle imports, Sri Lankan auto importers have held several rounds of talks with them stating that their parent companies are willing to invest in the Sri Lankan vehicle assembly industry, pointing out the need for a ‘Standard Procedure for Vehicle Assembling in Sri Lanka’ (SOP), the minister said.
This standard operating procedure (SOP) contains the relevant ‘Local Value Added Formula’ stating that Indian, Japanese and Korean automakers are among them and that when they start assembling vehicles in Sri Lanka, they receive tax concessions relative to the value added, Weerawansa said.
The establishment of such a state-of-the-art commercial policy in Sri Lanka will enable the people of Sri Lanka to assemble imported vehicles in the country and obtain them at a reasonable price, thereby creating a high potential for the development of the automotive industry, the Minister said.
Weerawansa said that not only imported cars but also motorbikes and electric three wheelers will be assembled in the country and this will be a turning point in the country’s industrial sector.