Nov 08, Colombo: One of the largest sugar producers in the world, Shree Renuka Sugar Ltd of India has agreed to establish a sugar refinery in the Hambantota Port Investment Promotion Zone in Sri Lanka's Southern Province.

Shree Renuka Sugars Ltd., India, via its subsidiary Lanka Sugar Refinery Company (Private) Limited has signed the US$ 220 million deal with the Sri Lanka Ports Authority on Wednesday (November 07).

The business venture will import raw sugar for the refinement at the plant in Hambantota. Initially the plant will operate at a capacity of 2,000 tons per day which will be later increased to 3,000 tons per day.

The company is to utilize the local human resources to the maximum level and expects to engage 1,500-2,000 workers during the construction period.

Once completed the plant will directly employ nearly 300-350 people at various technical and commercial levels and nearly 1,000 others will benefit from indirect employment, the Government Information Department said.

The construction of the plant is expected to be completed within 2 years.