Zydus Lifesciences, an innovation-driven global life sciences company, and Sunshine Healthcare have announced the formation of a strategic joint venture, Zydus Sunshine Lifesciences Pvt. Ltd., with an investment commitment of over USD 20 million to establish a pharmaceutical manufacturing facility in Sri Lanka.

The investment is expected to strengthen local pharmaceutical production while reducing the country’s dependence on imports.

The manufacturing facility, to be located within the Board of Investment (BOI) Zone in Horana, will be developed on nearly four acres of land. The foundation stone for the project was laid yesterday, marking the formal commencement of construction.

The plant will manufacture a range of pharmaceutical products for Sri Lanka’s retail market, improving access to high-quality medicines while strengthening the resilience of the country’s healthcare supply chain.

The joint venture combines Zydus Lifesciences’ global expertise in pharmaceutical manufacturing and technical know-how with Sunshine Healthcare’s strong local market presence and extensive healthcare distribution network.

The partnership is expected to facilitate technology transfer, strengthen local manufacturing capabilities, create skilled employment opportunities, and contribute to the long-term development of Sri Lanka’s healthcare ecosystem.

By expanding local pharmaceutical production, the venture is expected to enhance the security of medicine supplies, reduce reliance on imports, and improve the affordability and availability of essential medicines.

Zydus Lifesciences brings extensive global capabilities across formulations, active pharmaceutical ingredients (APIs), medical technology, diagnostics, animal healthcare, and consumer wellness.

Dr. Sharvil P. Patel, Managing Director of Zydus Lifesciences Ltd., said: “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.”

Shyam Sathasivam, Group CEO of Sunshine Holdings PLC, said: “This partnership is a strategic investment in Sri Lanka’s healthcare security and industrial growth. Together with Zydus, we aim 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 the 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.