Textile Zone Development
Eravur- Batticaloa
Batticaloa
300 Acres
USD 10 Mn
Project Overview
The Zone is declared as a “Strategic Development Project” (SDP) and strategic textile manufacturing investments established within the borders of the zone are eligible for benefits under Sri Lanka’s SDP Act. Spanning over approximately 300 acres, the zone offers opportunities for various verticals in textile manufacturing.
Manufacturers can set up operations in a dedicated area equipped with essential amenities including a sea outfall, a centralized wastewater treatment facility, and pre-cleared environmental approvals for all manufacturing activities. This processing park is designed to reduce material lead time and input costs by ensuring the availability of locally sourced fabrics.
Project / Ownership Structure
Foreign Direct Investments (FDI), Domestic private investment
More Details
- Incentives
- Location
- Zone Map
- Approved Activities
Project Incentives
- 5–10-year tax holiday for exports (based on investment size, product type, market orientation, patent rights, local value addition, quality, etc.)
- 0% duty & taxes on imported capital goods & raw materials
- Exemptions under VAT, PAL, CID, and CESS for import substitution
Other Incentives
- Dividends to non-resident entities are exempt from income and withholding taxes
- Sri Lanka maintains double-tax treaties with 46 countries
- 100% repatriation of capital and profits is permitted
- Access to skilled labor with a 92% literacy rate and labor costs 30% lower than regional averages
Pre-approved for Multiple Product Opportunities:
- Textile Dyeing
- Textile Washing
- Textile Knitting
- Textile Weaving
- Other Associated Activities