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DAILY NEWS ANALYSIS

  • 04 March, 2021

  • 4 Min Read

West Container Terminal to be Constructed Jointly by India-SL-Japan

West Container Terminal to be Constructed Jointly by India-SL-Japan

  • The Sri Lankan Cabinet has approved a proposal to develop Colombo Port’s West Container Terminal(WCT) under a joint venture with India and Japan.

Note: This proposal comes after Sri Lanka pulled out of the 2019 tripartite agreement with India and Japan to develop the East Container Terminal (ECT).

About the West Container Terminal(WCT) Project:

  • Location: The West Container Terminal(WCT) is strategically located next to a Chinese-run Colombo International Container Terminal(CICT).
  • Model: The terminal will be developed on a Build, Operate and Transfer(BOT) model for a period of 35 years.
  • Investors: For the project, Sri Lanka has asked India and Japan to nominate the investors. But neither India nor Japan has officially commented on the offer.
    • Earlier, India had approved Adani Ports to invest in the ECT project. However, Japan is yet to name an investor.
  • Stakes in WCT: India and Japan will have an 85% stake in the West Container Terminal.
  • It is similar to the terms set for the Colombo International Container Terminal(CICT) where China holds an 85% stake.
  • Moreover, India and Japan's stake in the WCT is better than the earlier deal on the ECT – where they had a 49% stake.

Source: TH


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03 Dec,2025

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