Zydus Sunshine Lifesciences, a joint venture between Zydus Lifesciences Limited and Sunshine Healthcare, has formalised an agreement with the Board of Investment of Sri Lanka to establish a pharmaceutical manufacturing facility in the BOI zone in Horana, Sri Lanka. The agreement, signed on 13 October 2026, marks a significant step in the joint venture’s efforts to expand its footprint in the international pharmaceutical market.
The project involves a phased investment exceeding USD 20 million and will be developed on a site spanning nearly four acres. The facility is set to commence commercial operations in 2028, contingent upon project timelines and obtaining the necessary regulatory approvals. In its initial phase, the facility will focus on manufacturing oral solid dosage forms specifically for the Sri Lankan market. This development aligns with Zydus’ strategic objective to enhance its international presence and improve access to quality medicines.
Local manufacturing is anticipated to bolster the resilience of the medicine supply chain in Sri Lanka, thereby ensuring a steady availability of essential medicines. This move is expected to not only meet local demand but also potentially serve as a springboard for further regional expansion. The joint venture between Zydus and Sunshine Healthcare, which was announced on 26 June 2026, represents a collaborative effort to leverage combined expertise and resources in the pharmaceutical sector.
Analysts view this development as a positive stride towards strengthening Zydus’ market position in South Asia. The investment underscores a broader trend of pharmaceutical companies seeking to establish local manufacturing capabilities to mitigate supply chain disruptions and enhance market access. As the project progresses, stakeholders will closely monitor its impact on the regional pharmaceutical landscape and its contribution to the local economy.
