# Sri Lanka pharmaceutical manufacturing expansion > Live situation record from CLSTR: https://clstr.news/situations/sri-lanka-pharmaceutical-manufacturing-expansion > Updated: 2026-10-19T04:41:33.000Z. Sources: 5. Developments: 2. Sri Lanka is expanding its domestic pharmaceutical manufacturing capabilities through new industrial projects. In October 2026, Zydus Sunshine Lifesciences, a joint venture between Zydus Lifesciences and Sunshine Healthcare, signed an agreement to build a $20 million facility in the Horana investment zone. This plant, scheduled to begin production of oral solid medicines like tablets and capsules in 2028, aims to enhance the local medicine supply chain. Concurrently, the country is preparing to launch its first insulin manufacturing factory in 2027. Located in the Koggala Export Processing Zone, the facility is operated by Premium International Injectable (Pvt) Ltd in a joint venture with the State Pharmaceuticals Manufacturing Corporation (SPMC). The plant intends to eventually produce 33 different types of medicines, including painkillers and anaesthetics. Health Minister Dr. Nalinda Jayatissa stated these initiatives aim to reduce the nation’s reliance on pharmaceutical imports, which currently account for 85–90 percent of hospital medicines, while potentially generating export revenue for markets such as the Maldives and Timor-Leste. ## Timeline ### 2026-10-19: Sri Lanka to launch first insulin manufacturing factory in 2027 Sri Lanka's first insulin manufacturing factory, a Rs. 3 billion investment, is scheduled to begin production in 2027 to reduce pharmaceutical import dependency. 3 sources. https://clstr.news/cluster/sri-lanka-to-launch-first-insulin-manufacturing-factory-in-2027 ### 2026-10-15: Zydus Lifesciences to build $20M pharmaceutical plant in Sri Lanka Zydus Sunshine Lifesciences will invest over $20 million to build a pharmaceutical plant in Horana, Sri Lanka, with production of oral medicines expected to begin in 2028. 2 sources. https://clstr.news/cluster/zydus-lifesciences-to-build-20m-pharmaceutical-plant-in-sri-lanka --- Cite as: Sri Lanka pharmaceutical manufacturing expansion. CLSTR, https://clstr.news/situations/sri-lanka-pharmaceutical-manufacturing-expansion