The All Ceylon General Port Employees Union has requested the government to withdraw the Cabinet Paper tabled by Minister of Ports Rohitha Abeygunawardena to outsource services currently overseen by the Port Supply Division to China’s CICT organisation.
Speaking to NewsRadio, Chief Secretary Niroshan Gorakanage said there is a risk of Sri Lanka’s inward dollar revenue falling and the Sri Lanka Ports Authority revenue reducing, if the deal goes ahead.
Gorakanage warned the Cabinet Paper calls for a 13 acre land of the Colombo South Terminal to be given to the CICT which in return will bring in a USD 150 million investment.
However he claimed the agreement grants power for the CICT to run 70% port services through the CICT terminal, while the agreement will be valid for 35 years.
He stressed the privatisation of port services, will lead to a major decline including in port revenue.