INSEE Cement signs MoU with Hambantota Port to improve supply chain efficiency

From left: INSEE Cement Director Ecocycle Sanjeewa Chulakumara, HIPG AGM Commercial and Marketing Bindu Ranasinghe, INSEE Cement Director Procurement and Logistics Thusith Gunawarnasuriya, HIPS CEO Captain Ravi Jayawickreme, HIPG COO Tissa Wickramasinghe, INSEE Cement CEO Gustavo Navarro, HIPG CEO Johnson Liu, HIPG CFO Raymond Mu, INSEE Cement CFO Wasantha Nandasiri and HIPG General Manager Commercial and Marketing Lance Zuo

Hambantota International Port Group (HIPG) yesterday signed an agreement with INSEE Cement, the leading cement manufacturing company in Sri Lanka, to ensure the efficient transfer of raw materials to its factory in Galle, via the Hambantota Port.  

This will have a positive impact on the operational efficiency. 

The agreement was signed between INSEE Cement Chief Executive Officer Gustavo Navarro and HIPG CEO Johnson Liu, at a ceremony held at the Hambantota Maritime Centre.     
Liu expressed his appreciation of the partnership with INSEE saying it would be of great mutual advantage for both parties.

“INSEE Cement was Hambantota International  Port’s (HIP) first customer for dry bulk cargo and we greatly appreciate the trust they placed in us.  We have worked with them from 2018 and have been able to greatly increase our productivity in handling dry bulk volumes.  Recognising the value the companies bring to each other, we decided to strengthen the partnership by entering into an agreement that will continue creating win-win opportunities that will be of mutual benefit.”

Liu added that the port handled a dry bulk volume of over one million metric tonnes in 2021, for the first time exceeding the one million range, under a single customer, which was a milestone achievement for the port. 

Navarro said that working with HIPG has been a great advantage for them.  

“Due to the limitations we have experienced in our previous operations, we couldn’t bring bigger vessels with larger volumes. HIP has been a great business partner for us and the port came up with some creative solutions to get our raw materials delivered efficiently and in a timely manner, which made a positive impact on our operation. This has not only benefited our company but also the local economy in terms of dollar savings because it reduced freight costs we otherwise paid to foreign vessels.”

INSEE Cement Director Procurement and Logistics Thusith Gunawarnasuriya further mentioned with HIP they were able to use larger vessels to carry their raw materials due to the port’s deep draft facilities.  

“HIP’s productivity levels are impressive and the quick turnaround helped us to achieve economies of scale and increase our production levels, which in turn increased volumes for the port.  This not only benefited INSEE but our end user.”