BUSINESS NEWS : Business Tycoon Harry Jayawardene's MelstraCorp to setup Hospitals and double the Dairy production

DOUBLE THE MILK PRODUCTION

Lanka Milk Foods, a unit of Sri Lanka's Melstacorp Plc, said it will invest 2 billion rupees to set up a dairy farm with 2000 milk cows at Ambewela, Nuwara Eliya to meet a growing demand for fresh dairy products. The company has incorporated United Dairies Lanka which will set up four new barns to house 2,000 milk cows and two modern milking parlous for an estimated investment of 2 billion rupees.

Lanka Milk Foods already has 2,100 heads of cattle of Ayrshire and Friesian breeds grazing in 1,500 acres of land in Ambewela, 6,000m above sea-level. The milk yield is around 16,000 litres a day. The new plant is likely to double capacity of the group.

Lakspray, Ambewela and Daily Milk are the dairy brands under the Lanka Milk Foods umbrella.

HEALTHCARE

Melstacorp Plc, the parent company of listed liquor producer Distilleries Company, said it was entering the healthcare industry, initially setting up diagnostic infrastructure and managing select hospitals.

"The company will be entering the healthcare industry shortly through subsidiaries incorporated to undertake such activities," the group said in a stock exchange filing Tuesday.

The group has incorporated Melsta Health Private Limited for the purpose.

"This would involve management of hospitals, operating diagnostic centres and involvement in related healthcare institutions as and when the opportunity arises," it said. The investment was not disclosed as Melstacorp said the investment did not amount to a major transaction.