Sri Lanka eyes pharmaceutical export boom
The Morning: The Sri Lanka Export Development Board (EDB) on 1 July held a high-level discussion with the Sri Lanka Pharmaceutical Manufacturers Association (SLPMA) to advance the country’s pharmaceutical sector, with particular focus on boosting exports and addressing long-standing industry hurdles.
The meeting, described by participants as both productive and forward-looking, brought together key SLPMA representatives including President Nalin Kannangara, Senior Vice President Dinesh Athapaththu, Vice President Viraj Manatunga, Dr. Janaka Wickramasinghe of Navesta Pharmaceuticals, Dr. Anoop Segar of Sands Active, and Kalana Hewmallika, Chairperson of Gamma Interpharm.
Sri Lanka’s pharmaceutical manufacturing industry is increasingly viewed as a vital area for economic growth.
Currently, around 25 local manufacturers have invested more than Rs. 100 billion over the past decade, seeking to expand capacity to serve both domestic and foreign markets.
Despite this momentum, local producers still hold just a 15% share of Sri Lanka’s pharmaceutical market.
Most production – over 80% – caters to government procurement through the Medical Supplies Division (MSD). In 2024, pharmaceutical exports from Sri Lanka stood at a modest $ 8.07 million.
Speaking during the discussion, SLPMA President Nalin Kannangara pointed out that the association’s 23 member companies supply roughly 35% of pharmaceutical needs to government hospitals and manufacture more than 235 products domestically.
Kannangara also called for an extension of the government’s buyback agreement, which helped local producers grow from making 15 products in 2015 to 235 today. “The extension of this scheme will enable larger batch production, drive down unit costs, and sharpen the industry’s edge in international markets,” he said.
SLPMA Vice President and EDB Pharmaceutical Advisory Committee Chairperson Viraj Manatunga stressed the urgency of adopting a comprehensive national strategy for pharmaceutical manufacturing.
EDB Chairperson Mangala Wijesinghe concluded the session by encouraging industry players to consolidate and present the sector’s key issues to the Export Development Council of Ministers, chaired by the President.
OSL take:
Sri Lanka’s geographical positioning in the Indian Ocean and the many trade agreements as well as trade concessions enjoyed by the country with many foreign countries have helped boost the country’s manufacturing and export industries. It is in such a backdrop that pharmaceutical manufacturing and export industries have shown a growing business potential with Sri Lankan authorities also preparing many incentive schemes for businesses entering these industries. The expanding local demand as well as the global demand in Sri Lanka’s health industry, especially in the pharmaceutical sector, have presented a host of business/investment opportunities for foreign businesses/investors exploring lucrative ventures in the region and Sri Lanka specifically. Given the growth and profits recorded by businesses engaged in Sri Lanka’s pharmaceutical industry, foreign businesses/investors could explore the increasing business/investment opportunities in the industry, especially in the manufacture and export of pharmaceuticals. Foreign businesses/investors could also look at expanding operations in Sri Lanka’s pharmaceutical industry through local collaborations.
| Article Code : | VBS/AT/20250711/Z_1 |