Jaffna - Economy & Transportation

Economy & Transportation

Jaffna city was founded as a trading town by European merchants. Although a historic port used by the native Jaffna kingdom was already in existence when the Portuguese arrived, it was the European mercantile activity that made it prominent. In colonial times, production of clothes, items of gold and silver, processing of tobacco, rice and other related activities formed an important part of the economic activities. In modern times, the port was its principal source of revenue but it has declined drastically. Currently it survives as a fishing port. The city had a wide range of industries, including food processing, packaging, making of household items, and salt processing, but most ceased after 1995. Since then, most industrialists, entrepreneurs, and business people have relocated to the rest of Sri Lanka and abroad. After 2009, foreign governments within the EU, US, India, and investors from the south of the island and the Sri Lankan Tamil diaspora have shown an interest in making investments in Jaffna district in general and Jaffna city in particular.

Jaffna is 396 km from Colombo. It is directly connected by railways and the roads system, both of which were disrupted during the civil war. The city was served by the Yal Devi train service until 1990. The primary railway station in the city is the Jaffna Railway Station.

The A-9 highway connecting the city with the rest of the country was opened after the 2002 ceasefire. It is served by government and private sector coaches and buses. Commercial flights are available from Colombo to Jaffna via the Palali Airport.