Sri Lanka can be a hub for pharmaceutical manufacturing in the region, if it could improve on quality and delivery of products, said a pharmaceutical industry expert and consultant last week.
“Sri Lanka’s pharmaceutical industry has the potential to be a hub for manufacturing pharmaceutical products in the region provided it works on quality and delivery which are key components to reach that goal,” said Kiran. P. Petkar of Ujjwal Prabha Consultants while conduction a two-day training workshop on Pharmaceutical Manufacturing in Colombo last week hosted by the Sri Lanka Pharmaceutical Manufacturers’ Association (SLPMA). He said unlike India, Sri Lanka’s high cost of production has been a stumbling block to drive growth in the market all these years.
“Pharmaceutical production is less costly in India which is why has been able to expand its global reach with around 11,000 manufacturing units and around 1400 pharmaceutical plants with WHO-GMP approval,” Petkar said. Pharmaceutical production is less costly in India, which has enabled the country to become a dominant global supplier of medicines. India has become a leading provider of generic drugs and vaccines, with exports reaching over 200 countries.
This has earned India the title of the “Pharmacy of the World”.
As of May 2025, India had over 2,000 WHO-GMP (Good Manufacturing Practices) approved facilities, and the largest number of USFDA-compliant plants outside of the United States. These numbers reflect India’s commitment to adhering to international quality standards while keeping production costs low.
On the contrary, Sri Lanka’s pharmaceutical industry is dominated by imported products meeting over 80% of the market’s demand while local manufacturers struggling to penetrate the private market.
The buyback agreement signed between the local manufacturers and the Ministry of Health has helped to a certain extent to develop the local industry.
However, the Sri Lanka’s pharmaceutical industry is hoping that the agreement will be extended at the forthcoming budget.
“We hope the Government will take steps to extend the buyback agreement has up to 2030 which will help the industry to increase the share of local manufacturers from the current 20% to 40% and meet the government’s requirement of pharmaceutical products from the present 35% to 75% in the next five years,” Sri Lanka Pharmaceutical Manufacturers’ Association President Nalin Kannangara said.
He said the extension of the buyback agreement for five years will create confidence in investors to invest more in developing new medicines, set up new manufacturing plants and offer more employment opportunities to local graduates that will put a stop gap to the brain-drain in the country.
“When Sri Lanka producers only around 18% of its pharmaceutical needs after six decades Bangladesh meets around 97% of its needs being only for around 50 years in the industry,” Kannangara said adding that there has been something that has gone wrong drastically in Sri Lanka’s pharmaceutical manufacturing mechanism.
India almost meets its medicinal needs 100% by local manufacture and Pakistan is around 70% self-sufficient. The buyback agreement of pharmaceutical products from local manufacturers which ended in 2024 was extended for two years by the current government via a EOI process.
During the first five decades the industry recorded a very slow growth with around 10 manufacturers and less incentives to develop the industry. However after 2015 the industry grew with the number of local manufacturers increasing to 25 manufacturing over 500 products to treat cardiovascular and respiratory diseases, antibiotics, anti diabetes, intravenous injections(IVs) and saline to name a few. Kannangara reiterated the need for a national policy that encourages and incentivises local manufacturing of pharmaceuticals where the country will be better equipped with pharmaceuticals and health needs even to face any pandemic in the future.
The Pharmaceutical Manufacturers’ Association has been lobbying for the removal of the 18% VAT imposed on imported packing materials for local manufacture.
Citing a quote from John Sharp, UKMHRA Petkar said in a pharmaceutical organisation, GMP activities should be supported from the top and implemented from the bottom of the organisation.
Urging trainees to focus on Corrective Action and Preventive Action (CAPA) invited the participants to set up a CAPA team at their companies which will be a major trouble shooter and help the organisation to steer the towards excellence.
Sri Lanka can be a hub for pharmaceutical manufacturing in the region, if it could improve on quality and delivery of products, said a pharmaceutical industry expert and consultant last week.
“Sri Lanka’s pharmaceutical industry has the potential to be a hub for manufacturing pharmaceutical products in the region provided it works on quality and delivery which are key components to reach that goal,” said Kiran. P. Petkar of Ujjwal Prabha Consultants while conduction a two-day training workshop on Pharmaceutical Manufacturing in Colombo last week hosted by the Sri Lanka Pharmaceutical Manufacturers’ Association (SLPMA). He said unlike India, Sri Lanka’s high cost of production has been a stumbling block to drive growth in the market all these years.
This has earned India the title of the “Pharmacy of the World”.
As of May 2025, India had over 2,000 WHO-GMP (Good Manufacturing Practices) approved facilities, and the largest number of USFDA-compliant plants outside of the United States. These numbers reflect India’s commitment to adhering to international quality standards while keeping production costs low.
On the contrary, Sri Lanka’s pharmaceutical industry is dominated by imported products meeting over 80% of the market’s demand while local manufacturers struggling to penetrate the private market.
The buyback agreement signed between the local manufacturers and the Ministry of Health has helped to a certain extent to develop the local industry.
However, the Sri Lanka’s pharmaceutical industry is hoping that the agreement will be extended at the forthcoming budget.
“We hope the Government will take steps to extend the buyback agreement has up to 2030 which will help the industry to increase the share of local manufacturers from the current 20% to 40% and meet the government’s requirement of pharmaceutical products from the present 35% to 75% in the next five years,” Sri Lanka Pharmaceutical Manufacturers’ Association President Nalin Kannangara said.
He said the extension of the buyback agreement for five years will create confidence in investors to invest more in developing new medicines, set up new manufacturing plants and offer more employment opportunities to local graduates that will put a stop gap to the brain-drain in the country.
“When Sri Lanka producers only around 18% of its pharmaceutical needs after six decades Bangladesh meets around 97% of its needs being only for around 50 years in the industry,” Kannangara said adding that there has been something that has gone wrong drastically in Sri Lanka’s pharmaceutical manufacturing mechanism.
India almost meets its medicinal needs 100% by local manufacture and Pakistan is around 70% self-sufficient. The buyback agreement of pharmaceutical products from local manufacturers which ended in 2024 was extended for two years by the current government via a EOI process.
During the first five decades the industry recorded a very slow growth with around 10 manufacturers and less incentives to develop the industry. However after 2015 the industry grew with the number of local manufacturers increasing to 25 manufacturing over 500 products to treat cardiovascular and respiratory diseases, antibiotics, anti diabetes, intravenous injections(IVs) and saline to name a few. Kannangara reiterated the need for a national policy that encourages and incentivises local manufacturing of pharmaceuticals where the country will be better equipped with pharmaceuticals and health needs even to face any pandemic in the future.
The Pharmaceutical Manufacturers’ Association has been lobbying for the removal of the 18% VAT imposed on imported packing materials for local manufacture.
Citing a quote from John Sharp, UKMHRA Petkar said in a pharmaceutical organisation, GMP activities should be supported from the top and implemented from the bottom of the organisation.
Urging trainees to focus on Corrective Action and Preventive Action (CAPA) invited the participants to set up a CAPA team at their companies which will be a major trouble shooter and help the organisation to steer the towards excellence.
Sourse
Recent Posts
Recent Comments
Popular Categories
Popular Tags
Archives