Tropic Engineering Supplies and Service (TESS) Group, through its subsidiary, Tess Pvt Ltd will set up a tinned fish cannery in a bid to reduce canned fish imports, officials said. “We are trying to can the small fish for the local markets, which is why we want to set up this cannery,” Dilshan Fernando, Director Tess Pvt Ltd told the Business Times. He noted that Sri Lanka imports US$ 48 million worth of canned fish for a year. “This cannery, which we plan to start with Rs 75 million at Peliyagoda, will contribute to some import substitution," he added.
TESS, whose 50.5% is owned by the Fernando family, exports some three million kilos of fish a year which counts for 70% of the country’s total fish exports. Mr. Fernando explains that TESS is the first cold chain operator in the country, currently exporting to the European market - France, Germany, Denmark and Norway along with the US as well. While TESS plans to go into the Russian market, China is very much in its radar. “Seafood consumption in China is increasing rapidly with the affluence of the market.
China imports large quantities of Salmon from European destinations and we are aiming to develop the Chinese market for premium swordfish and tuna products. China has banned tuna products treated with carbon monoxide which provides an opportunity for us to market premium quality tuna products to China,” Shiran Fernando, CEO Tess Pvt Ltd added. He noted that owing to TESS's infrastructure in post-harvest handling and cooling, which extends the shelf life of the produce, it is exploring many other possibilities. “We secured the EU and the US for Sri Lankan produce to European markets as well,” he added. Mr. Dilshan Fernando said that TESS plans to develop its supply base and thereby increase the volume of raw material processed and exported. “Due to the war in our country fishing from almost 67% of our coast line was restricted.
Now that peace has come we are exploring these areas which are liberated and open for fisheries activity,” he said, noting that the required industrialization and infrastructure will take a considerable time to be installed, but small scale fishing with limited capital resources could be the only commercial activity or livelihood for persons now resettled in these areas.
"With investment in infrastructure like harbours in the East, TESS hopes to obtain supplies from these areas, which will catalyse the development of fisheries in the north and east of the country,” he added. |
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