Electronics manufacturing companies in Sri Lanka

Electronics manufacturing companies in Sri Lanka

Sri Lanka, known for its vibrant apparel and tea industries, has also been making strides in the electronics manufacturing sector. While the electronics industry in Sri Lanka is not as large or established as in countries like China, India, or Vietnam, it has been growing steadily, especially in recent years due to government incentives, skilled labor availability, and an emphasis on export-oriented growth.

Overview of the Electronics Manufacturing Sector

The electronics manufacturing industry in Sri Lanka includes the production of electronic components, printed circuit boards (PCBs), semiconductor devices, telecommunication equipment, and consumer electronics. The country has positioned itself as a competitive location for niche and high-quality electronics production, primarily for export.

The Board of Investment (BOI) of Sri Lanka has created special zones and provided incentives to attract foreign direct investment in electronics manufacturing. These zones, such as the Katunayake and Biyagama Export Processing Zones, house several electronics and electrical component manufacturing facilities.

Notable Electronics Companies in Sri Lanka

1. Orel Corporation (formerly Orange Electric) – Orel is one of the largest and most prominent electronics and electrical manufacturing companies in Sri Lanka. It produces a wide range of electrical and electronic products including smart home devices, electrical switches, and wiring accessories. Orel has a strong international presence and exports to many countries.

2. Kelani Cables PLC – Although primarily a cable manufacturing company, Kelani Cables also produces electronic accessories and components. It plays a significant role in supporting the local electronics industry through its wide product range.

3. ACL Cables PLC – Similar to Kelani, ACL is a leading manufacturer of cables and also engages in producing related electrical and electronic products. The company has invested in modern technology and quality control systems.

4. Lanka Harness Co. Ltd. – This Japanese-owned company is a leading manufacturer of impact sensors for airbag systems and other electronic automotive components. It exports its products mainly to Japan and other countries and is a key player in the automotive electronics segment.

5. E-W Information Systems (EWIS) – EWIS is one of the few companies that assemble and manufacture computers and IT equipment in Sri Lanka. The company also provides IT solutions and services, playing a role in both hardware manufacturing and technology development.

6. Zone24x7 – While not a traditional manufacturer, Zone24x7 is a technology company that engages in electronics R&D and embedded systems development. It collaborates with hardware manufacturers and contributes to the ecosystem through innovation and product design.

Growth Potential and Challenges

The Sri Lankan government has been promoting the electronics sector as part of its vision to transform the country into a knowledge-based economy. With tax incentives, infrastructure support, and initiatives to enhance technical education, Sri Lanka aims to attract more investment in electronics manufacturing.

However, challenges remain. The country’s relatively small scale, political and economic fluctuations, and competition from larger manufacturing hubs in Asia pose limitations. Nonetheless, the focus on high-quality, niche products and the growing trend of electronics miniaturization and automation present opportunities for the industry.

Conclusion

Sri Lanka’s electronics manufacturing sector, though modest in size, shows strong potential. With companies like Orel Corporation and Lanka Harness leading the way, and government support continuing to encourage investment, the country is gradually establishing itself as a reliable hub for electronics production and export.