Sri Lankan government prepares to privatize Kahatagaha graphite mines
2020-02-18 08:59:57 [Print]
President Rajapakse's cabinet of ministers has approved a paper to transform Kahatagaha Graphite Lanka Limited (KGLL) into a Public Private Partnership (PPP) with a private investor.
Cabinet spokesman Bandula Gunawardena told on February 5 that Industry and Commerce Minister Wimal Weerawansa had submitted the plan and that his ministry is expected to call international tenders to find a partner to add value to Kahatagaha Graphite mines. Raw graphite is currently exported from the mine without any added value, Weerawansa told the cabinet.
While no other details about the cabinet paper have been made available, it is a first step towards the complete privatization of the mine, whose workers will face escalating management demands for increased production and job cuts to make the company profitable. It follows International Monetary Fund directives for privatization and commercialization of Sri Lankan state-owned enterprises.
The state-owned mine currently produces about 65-70 metric tons of graphite per month.
Cabinet spokesman Bandula Gunawardena told on February 5 that Industry and Commerce Minister Wimal Weerawansa had submitted the plan and that his ministry is expected to call international tenders to find a partner to add value to Kahatagaha Graphite mines. Raw graphite is currently exported from the mine without any added value, Weerawansa told the cabinet.
While no other details about the cabinet paper have been made available, it is a first step towards the complete privatization of the mine, whose workers will face escalating management demands for increased production and job cuts to make the company profitable. It follows International Monetary Fund directives for privatization and commercialization of Sri Lankan state-owned enterprises.
The state-owned mine currently produces about 65-70 metric tons of graphite per month.
Flake Graphite +195 FOB China
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