The capacity at the Colombo Port will increase by around 6.8 million TEUs which is almost doubling the existing capacity of 7.5 million TEUS in the next two years with the East Container Terminal (ECT) and West Container Terminal (WCT) coming into operation said a senior official of Transportation and Plantation Sectors of the John Keells Group, a partner in the development of WCT-1.
“WCT-1 has reached its first major construction milestone and is set to add 1.6 million TEUs of capacity to the Port of Colombo this year (already completed in February 2025), with an expected increase of 3.4 million TEUs by the end of 2026,” President-Transportation and Plantation Sectors of the John Keells Group, Zafir Hashim said.
Meanwhile, the ECT according to Hashim is already operating with a 400 metre-long quay length and at completion of construction the full capacity of this terminal will be approximately 3.4 million TEU’s.
“Currently only CICT (Colombo International Container Terminal) is capable of handling ultra-large container vessels (ULCVs). With the addition of WCT-1 and ECT, there will be added capacity to accommodate (ULCVs), making it more attractive for global shipping lines,” Hashim said, adding that the deeper berths and advanced handling equipment will also improve efficiency, reducing turnaround times and congestion.
He said the WCT-1 and ECT will be automated terminals, using some of the latest port technologies. This will improve efficiency at the terminal, enhance safety and also facilitate more participation of female workers in the port industry business. “Currently, the Port terminal operation business is a male dominated business with the female participation at a low single digit level. The industry will be able to drive these numbers close to 20% with the level of automation involved at WCT-1 and probably at ECT,” Hashim said.
Sharing the sentiments of industry experts Hashim said the added capacity will strengthen Colombo Port’s position as South Asia’s leading transshipment hub, helping retain Indian cargo despite competition from emerging ports in India and Bangladesh.
“With improved technology and automation, the Port will also be better equipped to handle increasing trade volumes in the region,” Hashim said.
However, it is not all rosy as he said emerging transshipment hubs in India and Bangladesh could pose challenges if the bottlenecks obstructing productivity and efficiency of the Port are not eliminated.
India has been making rapid progress in developing its ports, with facilities such as Vizhinjam, Mundra, and Chennai investing in deep-water terminals and automation. These improvements mean that more cargo, especially Indian transshipment traffic that currently passes through Colombo, could be handled domestically, reducing Sri Lanka’s dominance in the region, Hashim said.
For instance, the Vizhinjam port in Kerala has just commenced operations and plans to become a global transshipment hub in the future. Significant investment is envisaged, thereby expanding the port’s handling capacity to 3 million TEUs by 2028.
“Thus, it is imperative that the Port of Colombo remains committed to its expansion plans to sustain its competitive edge in the region,” Hashim said, adding that Bangladesh, while historically reliant on foreign ports for transshipment, is also making strides. The development of the Matarbari deep-sea port, expected to be operational by 2029, could allow Bangladesh to handle relatively larger vessels directly rather than relying on Colombo, Singapore, or Port Klang.
Meanwhile, Chattogram and Mongla ports are expanding, and agreements with India to use these ports for transshipment will further shift cargo flows. However, given the natural limitations in terms of water depth, deviation time and distance, Bangladesh will continue to be a feeder-dominated port, Hashim said.
If Colombo wants to remain relevant as a hub port he stressed that expansion of infrastructure and more importantly at this point of time improving the port service efficiency is a must. With respect to Port Services there are two types of services a vessel makes use of: One offered by the terminal operators and the other by the Sri Lanka Ports Authority. Although we use state-of-the-art technology at the terminal side, and offer world class service, the service offered by the Sri Lanka Ports Authority needs to significantly improve.
He said shipping lines prioritise cost, efficiency, and turnaround time, and if competing ports in the region can offer comparable or better services, Colombo could see a decline in its strategic importance as a regional hub.
The next few years with West Container Terminal -1 and East Container Terminal capacities coming up the capacity in Colombo will pretty much double. So, in terms of capacity, even though we are little late in adding new capacity, during the next few years we will have sufficient capacity.
