Asahi Dyes and Chemicals SL (Pvt) Ltd. has opened a US$ 20.4 million advanced manufacturing facility at the Biyagama Export Processing Zone (BEPZ), creating 281 direct employment opportunities. The project is a strategic partnership between Japan’s Asahi Dyes and Chemicals Co., Ltd. and Sri Lanka’s Asons Ltd. The new facility will introduce advanced manufacturing technology, internationally recognized production standards and industrial expertise to Sri Lanka’s manufacturing and export sector.
Speaking at the opening, Board of Investment of Sri Lanka (BOI) Chairman Duminda Hulangamuwa said the facility would support the vertical integration of Sri Lanka’s apparel industry. “A great deal is said about the need to diversify our export base into electronics, manufacturing, telecommunications and other sectors, and we do need to. But the garment industry remains the bird in the hand,” he said.
Hulangamuwa said Sri Lanka’s garment industry had evolved into a sophisticated, technology-driven sector over the past three to four decades, achieving vertical integration in fabric and accessories. “Our task now is to see how we grow this from here,” he added.
Founded in 1932, Asahi Dyes and Chemicals Co., Ltd. manufactures specialty chemicals, including products used in sulfur chemistry, pharmaceutical intermediates, electronics and high-performance textile dyes. The company operates in Japan, China and Vietnam, with its Sri Lankan investment expected to facilitate the transfer of Japanese manufacturing technology, engineering expertise and international quality standards. The Biyagama facility will manufacture textile dyes, printing chemicals and finishing chemicals for the textile and apparel industry. Its products will be supplied to export markets across Asia and Southeast Asia. The operation is also connected with Italian technology company Tonello, which specializes in garment washing, dyeing, finishing and sustainable textile-processing solutions. More than 10,000 Tonello machines are currently in operation worldwide.
The collaboration is expected to connect the Sri Lankan facility with an international network of technological innovation and responsible manufacturing. The complex has been developed in compliance with LEED v4 BD+C green-building standards. Its operations include water conservation, energy optimization, advanced wastewater treatment, carbon-emission reduction and environmentally responsible production systems aligned with ESG principles. The investment is expected to support Sri Lanka’s textile and apparel industry by localizing the production of internationally certified specialty chemicals, reducing reliance on imports and improving supply-chain efficiency.
It is also expected to enhance export competitiveness, facilitate technology transfer and provide Sri Lankan professionals with exposure to advanced Japanese manufacturing systems. The BOI said the project aligns with its strategy of attracting high-technology, environmentally sustainable and export-oriented investments that strengthen Sri Lanka’s industrial base and position the country as a competitive manufacturing hub in South Asia.
