Dr Sarath Obeysekera

Colombo Dockyard Limited (CDL) remains one of Sri Lanka’s most valuable yet under-leveraged strategic assets in the maritime and marine engineering sector. Its location, skilled workforce, dry dock facilities, and legacy capabilities position it as a natural anchor for Sri Lanka’s emergence as a regional maritime hub.

Post-Privatisation Reality

Since privatisation, the anticipated technological transfer, strategic expansion, and international market leverage from the Japanese partnership have been minimal. While the Japanese association brought initial credibility, the tangible contribution in terms of diversification, offshore capability development, and regional hub creation has been limited.

In contrast, successive Sri Lankan CEOs and management teams have worked tirelessly—often under severe financial, policy, and market constraints—to sustain and elevate the Dockyard to its current operational level. Their contribution deserves recognition as a core driver of CDL’s resilience.

Opportunity under Mazagon Dock Shipbuilders

The proposed leadership role of Mazagon Dock Shipbuilders Ltd. (India) opens a critical strategic window. With its proven strengths in:

• Offshore platforms and naval vessels
• Subsea and heavy marine engineering
• Defence and commercial shipbuilding integration

Sri Lanka can reposition itself as an Indian Ocean marine engineering and offshore services hub, rather than remaining confined to ship repair alone.

Lease Extension: Strategic Conditionality Required

The Government’s proposal to extend the lease of Colombo Harbour land to Colombo Dockyard must not be treated as a routine administrative decision. It should be strategically conditioned.

Key Condition Recommended:

Any lease extension must require Mazagon Dock Shipbuilders to prepare and implement a time-bound diversification plan, including the development of Trincomalee as an offshore industrial and marine engineering hub.

Trincomalee: The Missing Link

Trincomalee offers unmatched natural depth, space, and strategic location for:

• Offshore energy fabrication and maintenance
• Floating docks and mega-structure assembly
• Defence and dual-use marine industries
• Oil & gas support services and renewables (offshore wind, OTEC, LNG)

Colombo Dockyard should act as the technical and managerial nucleus, while Trincomalee becomes the expansion platform for large-scale offshore and industrial marine activities that Colombo Harbour cannot physically accommodate.

Strategic Outcome for Sri Lanka

If properly structured, this approach would:

• Transform Sri Lanka into a regional offshore engineering hub
• Create high-value employment and skill transfer
• Reduce over-dependence on port logistics alone
• Anchor Indo-Sri Lankan industrial maritime cooperation
• Position Trincomalee as a long-term industrial growth pole

Conclusion

Colombo Dockyard is not merely a shipyard—it is a strategic national asset. The transition to Mazagon Dock’s stewardship must be leveraged to achieve national industrial objectives. A conditional lease extension linked to Trincomalee’s development is not only justified—it is essential for Sri Lanka’s maritime future.

Regards

Dr Sarath Obeysekera