Interview with Ms. Stasshani Jayawardena (Chairperson/Chairman), Dr. Parakrama Dissanayake (Deputy Chairman and Managing Director) and Mr. Iqram Cuttilan (Managing Director/CEO of Maritime Sector), Aitken Spence Maritime & Logistics

21 Oct Interview with Ms. Stasshani Jayawardena (Chairperson/Chairman), Dr. Parakrama Dissanayake (Deputy Chairman and Managing Director) and Mr. Iqram Cuttilan (Managing Director/CEO of Maritime Sector), Aitken Spence Maritime & Logistics

Sri Lanka’s Positioning – How do you see Sri Lanka’s strategic location along key maritime routes shaping its role as a regional logistics hub in the next decade?

Sri Lanka is known internationally for the Port of Colombo, which is ranked among the top 25 ports in the world. Positioned on the main East-West shipping route, Sri Lanka handles over 30% of container transshipment in South Asia. This strategic location has established the country as a transshipment hub for the region. Our deep draft port, combined with an excellent feeder network and efficient port operations, has attracted all major shipping lines to use Colombo as their primary transshipment hub for the Indian Sub-Continent.

With 80% of the cargo handled being transshipment, Sri Lanka needs to ensure superior connectivity and service quality compared to competing ports in the region to retain this business. Failure to do so risks losing transshipment cargo to other ports.

To maintain and strengthen our position among the world’s top ports, increasing investments in port and logistics infrastructure are critical. Capacity must be expanded proactively, as demand typically follows available capacity. The Colombo South Port Project, including the construction of the Colombo International Container Terminal (CICT), the East Container Terminal, and the West Container Terminal (CWIT), has significantly increased port volumes. These terminals are developed as Public-Private Partnerships with major global port operators. It is essential that capacity additions continue in a timely manner to meet future demand.

Sri Lanka is well-positioned to serve not only as a transshipment hub but also as a regional distribution hub for South Asia. However, policy inconsistencies and delays in decision-making have hindered progress towards fully realising this potential.

The government is focusing on trade facilitation and regional connectivity, which are crucial areas for development. There is an urgent need to fast-track trade facilitation measures, including the digitisation of port and customs operations. Modernising Customs procedures and implementing a National Single Window system will streamline processes significantly. Additionally, simplifying processes and approvals related to regional connectivity will prove critical.

Sri Lanka’s current ranking in the Logistics Performance Index is 76, indicating considerable room for improvement. Enhancing this ranking is necessary to promote stronger regional connectivity and to support Sri Lanka’s ambitions as a leading logistics hub in South Asia.

Post-Crisis Recovery – In what ways has Aiken Spence Logistics and Maritime adapted operations to support Sri Lanka’s economic recovery and private sector resilience following recent challenges?

Aitken Spence Logistics and Maritime has proactively adapted its operations to support Sri Lanka’s economic recovery and strengthen private sector resilience following recent challenges. One of the key initiatives has been the expansion of digitalisation and automation across our logistics operations. We have implemented Robotic Process Automation (RPA) and advanced analytics to streamline processes, enabling quicker response times and accelerating payment cycles. This digital transformation has enhanced overall operational efficiency and agility.

In addition, we have made significant investments in expanding warehousing and container freight station capacity. Notably, we developed a new 100,000 square foot Container Freight Station strategically located near the Port of Colombo and Bandaranaike International Airport. This state-of-the-art facility incorporates electric forklifts and an advanced warehouse management system, aligning with our commitment to sustainability while supporting operational excellence.

To address the supply chain disruptions caused by the pandemic, we focused on enhancing supply chain resilience and diversifying our service offerings. By identifying and implementing alternative routes and methods, we ensured the smooth movement of cargo despite global bottlenecks. Moreover, we expanded our scope by providing tailored logistics solutions to meet the evolving needs of our customers.

Furthermore, our division has played a vital role in supporting export and import growth, thereby contributing significantly to foreign exchange inflows. In the fiscal year 2024/25, we facilitated LKR 163.1 billion in foreign currency inflows to Sri Lanka. Given that our income is predominantly generated through foreign exchange transactions, our services have been instrumental in bolstering the national economy during this critical recovery period.

Technology & Innovation – How are you integrating digitalisation, automation, and data-driven solutions to modernise logistics and maritime operations in Sri Lanka?

At Aitken Spence Logistics and Maritime, we are actively integrating digitalisation, automation, and data-driven solutions to modernise our logistics and maritime operations in Sri Lanka.

We have adopted Robotic Process Automation (RPA) across various operational areas to streamline internal workflows, improve response times, and expedite payment processes. RPA has helped eliminate manual bottlenecks, allowing us to respond to customer needs more quickly and efficiently. In parallel, we are advancing our customer relationship management capabilities with the recent investment in a CRM system. This will enable us to gain deeper insights into customer behaviour and preferences, ultimately helping us to align more closely with our clients and partner with them in their business activities.

To enhance supply chain visibility, a growing demand from our customers, we have launched real-time cargo tracking and traceability systems. These solutions provide customers with up-to-date information on the status and location of their shipments, helping ensure transparency and timely delivery. The ability to track cargo in real time has become a key differentiator in service reliability and customer satisfaction.

In terms of data utilisation, we have implemented Power BI to analyse operational data and generate insights. While we have always had access to large volumes of data, using it effectively for decision-making was a challenge. Power BI has empowered our management teams with timely, relevant insights, allowing us to make data-driven decisions and quickly identify and address operational issues.

We have also invested in upgrading our warehousing and container handling infrastructure to meet growing customer demand. This includes enhancements to warehouse capacity as well as the procurement of electric-powered forklifts for our new Container Freight Station. These investments not only improve efficiency but also reflect our ongoing commitment to sustainability by reducing emissions and energy consumption.

Sustainability Goals – What steps is your company taking to meet global sustainability standards—such as reducing emissions in shipping and logistics—and how do these align with Sri Lanka’s climate commitments?

Sustainability is a core pillar of our operational and strategic direction. We are fully committed to aligning with global sustainability standards and contributing meaningfully to Sri Lanka’s national climate commitments.

As part of our Group-wide sustainability strategy, we have committed to achieving net-zero emissions by 2030. This is in line with Aitken Spence PLC’s objective of becoming the first Sri Lankan conglomerate to join the Science Based Targets initiative (SBTi), underscoring our dedication to measurable, science-aligned emissions reductions.

To support this goal, we have made targeted investments in renewable energy and low-emission infrastructure. We have installed solar panels on the rooftops of our warehouses and on reefer containers to reduce dependency on grid electricity and fossil fuels. Additionally, our investment in electric material handling equipment, including electric forklifts used at our new Container Freight Station, represents a significant step toward lowering our operational carbon footprint.

We have also achieved ISO 14001 certification for environmental management, which validates our adherence to internationally recognised environmental standards. This certification ensures that our environmental impact is being systematically measured and improved across all levels of our logistics and maritime operations.

Through these initiatives, we are not only working to meet international sustainability benchmarks but also aligning closely with Sri Lanka’s broader climate goals under the Paris Agreement, including its Nationally Determined Contributions (NDCs) aimed at reducing greenhouse gas emissions and fostering climate resilience.

Investment & Partnerships – Where do you see the most promising opportunities for international investors and partners within Sri Lanka’s logistics and maritime sectors?

There are significant opportunities for international investors and partners within Sri Lanka’s logistics and maritime sectors, particularly in areas such as port infrastructure, regional logistics expansion, and maritime education.

Public-private partnerships in port operations remain a key area of interest. Although recent years have seen limitations in investment locally due to policy shifts and delays in decision-making, Aitken Spence made a strategic decision to pursue opportunities internationally where there were fewer capital-intensive barriers and greater potential for growth. As a result, we successfully secured the management of major ports in Fiji under a public-private partnership with Fiji Ports. In Mozambique, we provide operational and technical support to the Port of Nacala. These ventures underscore our expertise in managing international port operations and highlight a replicable model that can be applied within Sri Lanka as the environment for investment becomes more conducive.

In logistics, the growing demand for regional integration has prompted us to expand beyond Sri Lanka’s borders in warehousing, third-party logistics (3PL), and cold chain services. Historically, our operations in these segments were focused domestically. However, recognising the need for regional diversification, we have entered new markets in Bangladesh, Cambodia, and Myanmar. Freight forwarding operations have already commenced in these countries, and plans are underway to initiate a warehousing project, marking a significant step in our regional logistics strategy.

We also see considerable value in the development of maritime education and skills training. Our joint venture with CINEC Campus has been instrumental in strengthening maritime education in Sri Lanka. Most recently, we expanded this partnership to Jaffna, with the aim of supporting talent development in underserved regions and contributing to the broader goal of building a skilled maritime workforce capable of supporting industry growth.

Our operations are further strengthened through a series of long-standing international partnerships. We have an established agency relationship with Hapag-Lloyd through Hapag-Lloyd Lanka (Pvt) Ltd., which has been recognised for delivering best-in-class customer service in the Europe and Mediterranean sectors. In air cargo, we serve as the General Sales Agent (GSA) for Qatar Airways in Sri Lanka and the Maldives, enabling seamless sea-to-air and air-to-air logistics solutions. Our reach also extends across the region, where we represent Gulf Air and Pattaya Airways as cargo GSAs in Cambodia and Myanmar. Additionally, we maintain strategic relationships with globally recognised marine insurance and surveying providers, including Lloyd’s of London and W.K. Webster, ensuring comprehensive cargo protection and risk management services.

These initiatives reflect a forward-thinking investment strategy and a track record of building credible, high-impact partnerships. For international investors looking at Sri Lanka and the broader South Asian region, Aitken Spence offers a stable and experienced platform for collaboration across logistics infrastructure, maritime operations, education, and integrated cargo services.

Recent Projects and Expansion Strategy – Could you share some insights into your most recent projects in maritime and logistics, and how they are shaping your expansion plans both locally and internationally?

Our recent projects in the maritime and logistics sectors reflect both a deepening of our capabilities within Sri Lanka and a strategic push to expand our international footprint.

One of the most significant recent developments is the opening of a new 100,000 square foot Container Freight Station (CFS) in Mabole, Wattala. This facility, developed exclusively for a leading global shipping line, is strategically located near the Port of Colombo and is designed to handle high-volume cargo efficiently. As part of our broader commitment to sustainability and operational modernisation, the facility is equipped with electric material handling equipment, which plays a key role in reducing emissions and minimising our environmental impact.

Internationally, we have expanded our air cargo operations through new General Sales Agent (GSA) agreements in several regional markets. In the Maldives, we secured the GSA for Qatar Airways Cargo, while in Cambodia and Myanmar, we now represent Gulf Air and Pattaya Airways. These partnerships not only broaden our cargo handling capabilities but also enhance regional connectivity and allow us to offer integrated sea-to-air and air-to-air solutions across South and Southeast Asia.

Another critical pillar of our expansion strategy lies in maritime education. CINEC Campus, a long-standing joint venture and a key asset in our group, continues to play a central role in human capital development. CINEC began as a dedicated maritime training institute and has grown into one of the best-ranked non-state universities in Sri Lanka. It remains the country’s leading maritime school while having expanded into other disciplines, now offering over 210 academic and vocational programs. With an annual student intake of over 20,000, CINEC delivers diploma, bachelor’s, master’s, and doctoral degrees, alongside practical vocational training—ensuring a steady pipeline of skilled professionals for the logistics and maritime industries both locally and abroad.

Collectively, these projects represent a multifaceted expansion strategy. Domestically, we are investing in high-performance infrastructure and sustainable practices to support growing logistics demands. Internationally, we are extending our service network and strategic partnerships across key regional markets. At the same time, we are investing in education to ensure the long-term capability and competitiveness of the sector.

Regional Competition – How is Sri Lanka differentiating itself from larger ports and logistics centers in South Asia, such as Singapore, India, or Dubai?

Sri Lanka is positioning itself as the premier transshipment hub for South Asia, leveraging a set of unique differentiators to compete with larger regional ports such as Singapore, India, and Dubai. The Port of Colombo, with its deep draft and well-developed infrastructure, offers efficient and fast connectivity to the entire South Asian region. This geographic advantage, combined with competitive transshipment costs, makes Sri Lanka an attractive hub for shipping lines operating in the East-West trade lanes.

A key operational strength is the quick turnaround time for vessels and generous free time offered for transshipment containers—typically between 14 to 21 days—which adds further value for carriers seeking flexibility and cost efficiency. Additionally, Sri Lanka offers growing air-sea connectivity, which enhances its multimodal logistics potential and positions the country as a viable alternative for integrated cargo movement.

In terms of long-term competitiveness, Sri Lanka is increasingly focusing on digital transformation and green logistics—areas where global shipping lines and regulators are raising expectations. While regional competitors such as Singapore and Dubai are ahead in adopting these standards, Sri Lanka recognises that sustainable and tech-driven logistics will be a key differentiator going forward. Investments in digital platforms, automation, and low-emission infrastructure are being prioritised to narrow this gap and position Sri Lanka as a modern, environmentally responsible logistics hub.

While we acknowledge that we are in a phase of catching up, Sri Lanka’s advantage lies in being able to implement these advancements with focus and speed, particularly in a regional context where such developments can have significant market impact. By aligning with global sustainability and digital trends while maintaining cost and operational advantages, Sri Lanka is steadily carving out a competitive position within South Asia’s evolving maritime landscape.

Future Vision – Looking ahead, what is your vision for Aiken Spence’s role in advancing Sri Lanka’s private sector competitiveness and integration into global supply chains?

Looking ahead, Aitken Spence is committed to playing a pivotal role in enhancing Sri Lanka’s private sector competitiveness and deepening the country’s integration into global supply chains. Our vision is centred on driving leadership in digital and sustainable logistics solutions—beginning with Sri Lanka and extending into the international markets where we are expanding our footprint.

We aim to be at the forefront of innovation by continuously investing in automation, artificial intelligence, and green technologies. These investments are designed not only to future-proof our own operations but also to elevate the standards of the broader logistics and maritime sectors in which we operate.

Our regional growth strategy is focused on expanding our presence across Asia, Africa, and the South Pacific. This expansion is being driven through a combination of strategic partnerships and new service offerings tailored to the needs of emerging and underserved markets. By building on our track record in Sri Lanka, we are confident in our ability to add value and deliver integrated solutions in these regions.

At a national level, we are committed to contributing to Sri Lanka’s economic development through job creation, skills development, and foreign exchange facilitation. Whether through our logistics operations, international partnerships, or education initiatives such as the CINEC Campus, we view our role as an enabler of sustainable economic progress.

In essence, our long-term vision is to position Aitken Spence as a regional leader in logistics and maritime services, anchored in innovation, sustainability, and meaningful national impact.