Sri Lanka to Become Regional Hub for Aircraft Recycling

Sri Lanka is poised to become a significant regional hub for aircraft recycling, thanks to a new investment by Aitken Spence Ltd. The company is set to commence operations at Hambantota as a joint venture with a Hong Kong-based partner within the next few months.

Aitken Spence Ltd, a Sri Lankan conglomerate, is partnering with Zone 600, a Hong Kong-based company involved in aircraft recycling. Together, they aim to establish a robust aircraft recycling facility in Sri Lanka.

Sri Lanka has been specifically chosen for this venture due to its economic viability and the large land area available in Hambantota. With no prominent competitors in the region, Sri Lanka’s facility will become a hub for recycling retired aircraft.

While the actual recycling of aircraft components won’t take place in Sri Lanka initially, the engines will be re-exported, and landing gears and other electronic parts will be sent to the owners. The company is also exploring innovative uses for fuselage and other parts, such as converting them into hotels and restaurants.

Sri Lanka’s facility will be the first of its kind in the region, as most other aircraft recycling facilities are located in Europe, Australia, Japan, China, the US, and the Netherlands. During the initial phase, foreign expertise will be brought in to run the operations. However, Sri Lankan skilled technicians and engineers will also be employed to contribute to the facility’s success.

All necessary approvals from the Central Environmental Authority (CEA) and the Atomic Energy Agency have been obtained to ensure compliance with environmental regulations.

A Sri Lankan company based in Australia, experienced in dismantling aircraft, will collaborate with Aitken Spence Ltd. This company already has similar operations with airlines like Cathay Pacific.

While the pilot project will focus on dismantling and re-exporting aircraft, the company plans to explore further possibilities. These include melting metal parts of retired aircraft for other purposes, subject to collaboration with other parties.