and Sri Lanka’s Sunshine Healthcare have formed a joint venture to establish a pharmaceutical manufacturing facility in Sri Lanka with an investment commitment of over $20 million, as the island nation looks to strengthen domestic drug production and reduce dependence on imports.
The new joint venture, Zydus Sunshine Lifesciences Pvt Ltd, will develop the facility at the Board of Investment (BOI) zone in Horana on nearly four acres of land. The foundation stone for the project was laid on Friday. The plant will manufacture pharmaceutical products for Sri Lanka’s retail market, with the aim of improving access to quality medicines while enhancing supply chain resilience and reducing import dependence.
The partnership combines Zydus’ pharmaceutical manufacturing expertise and technical capabilities with Sunshine Healthcare’s local market presence and healthcare distribution network. The venture will also facilitate technology transfer, strengthen local manufacturing capabilities and generate skilled employment, contributing to the long-term development of Sri Lanka’s healthcare ecosystem. The project comes as Sri Lanka prioritises domestic production in critical sectors. By expanding local pharmaceutical manufacturing capacity, the venture is expected to improve medicine availability and affordability while strengthening the country’s healthcare security.
For Ahmedabad-based Zydus, the investment also reinforces its commitment to Sri Lanka, where the company has had a presence for more than three decades. Zydus Lifesciences has businesses spanning formulations, active pharmaceutical ingredients (APIs), medical technology, diagnostics, animal healthcare and consumer wellness, and will leverage its manufacturing expertise to establish and scale the facility. “We have always believed that strong local capabilities are key to resilient healthcare ecosystems. By combining Zydus’ global experience and manufacturing excellence with Sunshine Holdings’ local expertise, this collaboration marks an important step in strengthening Sri Lanka’s healthcare ecosystem and building sustainable pharmaceutical capabilities for the future,” stated Dr Sharvil Patel, Managing Director, Zydus Lifesciences in an official release.
Calling the venture a strategic investment in Sri Lanka’s healthcare security and industrial growth, Shyam Sathasivam, Group CEO, Sunshine Holdings PLC, said the partnership aims to enhance local pharmaceutical manufacturing, create skilled employment and improve access to essential medicines for Sri Lankan consumers. The project will operate under the oversight of Sri Lanka’s Board of Investment, with the Ministry of Health and the National Medicines Regulatory Authority (NMRA) serving as key stakeholders. All products manufactured at the facility will comply with NMRA regulations and applicable pricing frameworks.