MAS Holdings and Hellmann Worldwide Logistics have broken ground on an 86,000-square-foot fashion logistics hub in Kimbulapitiya, Sri Lanka — less than four miles from Bandaranaike International Airport. The facility supports regional distribution across Asia, Africa, and Europe and aligns with Hellmann’s Forward2030 strategy and MAS’s 2030 target of deriving 75% of revenue from sustainable products. Sri Lanka’s apparel exports fell 8.1% year-on-year to $1.3 billion in Q1 2024, amid rising fuel and electricity costs. MAS employs over 100,000 workers across 50+ facilities in 13 countries and recently closed a factory affecting 2,200 workers.
According to wwd.com, apparel manufacturing giant MAS Holdings and global third-party logistics provider Hellmann Worldwide Logistics have broken ground on a new 86,000-square-foot fashion logistics hub in Kimbulapitiya, Sri Lanka — located less than four miles from Bandaranaike International Airport in the Gampaha district of the Western Province.
Integrated Infrastructure for Regional Distribution
The facility is designed to serve as a dedicated South Asian fashion hub for Hellmann, supporting end-to-end distribution across Asia, Africa, and Europe. It will feature dual-zone humidity control, climate-controlled warehousing, and integrated solar panels, according to the source. The hub is physically separate from MAS Holdings’ existing manufacturing operations in the nearby Katunayake Export Processing Zone.
Strategic Alignment with Forward2030 and MAS 2030 Goals
The investment aligns with Hellmann’s Forward2030 strategy, which identifies fashion logistics — especially e-commerce logistics — as one of its core growth pillars. Concurrently, MAS Holdings has pledged that 75 percent of its revenue will come from sustainable products by 2030. The company employs more than 100,000 workers across 50+ facilities in 13 countries, producing for global brands including Nike, PVH, Gap, Victoria’s Secret, Lululemon, and Marks & Spencer.
Joint Venture Roots and Operational Scope
MAS and Hellmann established their joint venture, Hellmann MAS Supply Chain (HMSC), in 2018. HMSC provides contract logistics, warehousing, and 3PL services to international fashion brands from Sri Lanka. The JV also manages procurement and coordination of MAS’s incoming air freight. Shakthi Ranatunge, chief operating officer at MAS Holdings and board member of HMSC, stated:
“Through our partnership with Hellmann, we are moving beyond traditional garment manufacturing to enable more integrated, end-to-end supply chain solutions for global brands. This facility enhances our ability to offer speed and agility while supporting the development of a more resilient and future-ready apparel ecosystem in Sri Lanka.”
Sri Lanka’s Apparel Sector Under Pressure
The new hub arrives amid significant headwinds for Sri Lanka’s apparel industry. In March 2024, apparel and textile exports declined 11.2 percent year over year to $440.3 million, driven primarily by a 12.8 percent reduction in shipments to the U.S. Exports to the EU fell 2 percent that month. Across the full first quarter of 2024, total apparel exports totaled $1.3 billion, down 8.1 percent annually; U.S. shipments dipped 6.4 percent, while EU-bound volumes fell 7.3 percent. Apparel and textiles represent 44 percent of Sri Lanka’s total goods exports — the nation’s top export category. MAS is one of approximately 300 apparel manufacturers in the country, alongside Brandix Apparel and Hirdaramani International Exports. Earlier in 2024, MAS shuttered one Sri Lankan factory, impacting 2,200 workers, as part of a strategic pivot from cut-and-sew toward knitting, dyeing, and finishing capabilities.
Source: wwd.com
Compiled from international media by the SCI.AI editorial team.
