Lanka to fly high as BOI approves firm to manufacture aircraft components

By Uditha Jayasinghe

As airlines remain mired in recession Sri Lanka is looking to reduced production costs to make their mark in the aircraft manufacturing industry.
Board of Investment (BoI) yesterday signed a US$ one million investment agreement with Aero Sense Technologies to manufacture 14 aircraft components for use in Boeing, Airbus, Embraer, Bombardier and Sikorsky craft. The company hopes to expand their investment to US$ 2 million by mid 2010 if the industry picks up as well. Aero Sense
Technologies to manufacture 14 aircraft components for use in Boeing, Airbus, Embraer, Bombardier and Sikorsky craft
However, Airlines lobby IATA said on Tuesday that the financial performance of carriers appeared to have improved in the third quarter, but repeated its forecast for $11 billion in industry losses in 2009. In such a background reports strongly indicated that Airbus and Boeing are heading for a sharp drop in orders this year as the airline industry gropes its way through the worst downturn in decades.
To combat this challenge Aero Sense Technologies, which is owned by Aero Sense Inc US, Swedcord Development AB and Sweden and Sveritec Limited UK, have moved part of their manufacturing arm to Flinth Industrial Park at Kadawatha.

Flinth Industrial Park Director K.J Westman

“The Company already has facilities in California and UK. In the former products are manufactured with 21 people out of whom seven are engineers, and in the UK we design and develop new products. In Sri Lanka we hope to recruit people and send them to England for training. In five years we hope to provide employment for 2 000 people,” said Flinth Industrial Park Director K.J Westman accepting the investment agreement from BoI Chairman Dhammika Perera.
Westman also noted that the comparatively higher levels of education of Sri Lankans and strong assistance of banks had been among the key considerations when relocating to Flinth Industrial Park.
The company plans to manufacture sensors that are used in pilot and system controls as well as condition monitoring for use in long-haul aircraft and helicopters.