11 November 2020 05:53 am Views - 456
The Cabinet of Ministers this week approved a proposal to establish a 400-acre special pharmaceutical manufacturing zone equipped with modern facilities in Hambantota.
The export-oriented project is aimed at attracting leading international pharmaceutical manufacturers.
The proposal in this regard submitted by the Minister of Health Pavithra Wanniarachchi plans to facilitate 20 pharmaceutical companies in 200 acres in the first stage of the project and 20 more companies in another 200 acres in the second stage of the project.
Accordingly, an extent of 400 acres of land would be allocated in the Arabokka estate in Hambantota and the Board of Investment (BOI) would be responsible in furnishing necessary infrastructure facilities.
The government earlier said that leading international pharmaceutical firms have already expressed their willingness to join this venture, in particular considering the growing demand for pharmaceuticals in the African and Southeast Asian regions.
The Department of Government Information noted that the venture would be declared as a strategic development project, which allows potential investors to gain applicable tax relief and other incentives taking part in the project.
Earlier this year, the government decided to fully reactivate the Strategic Development Projects Act (SPDA) in a bid to attract foreign investments to the country.
The pharmaceutical manufacturing industry has been identified as a key industry that could attract foreign direct investments and as a potential export industry by the Presidential Task Force for the Economic Revival and Eradication of Poverty led by Basil Rajapaksa.
Sri Lanka currently meets 85 percent of its drug requirement through imports at an annual cost of around Rs.130 billion.
President Gotabaya Rajapaksa recently announced plans to meet 50 percent of the country’s pharmaceutical requirement locally over the next three years, saving an estimated Rs.60 billion in import expenditure per annum.
The Department of Government Information noted that the venture would be declared as a strategic development project, which allows potential investors to gain applicable tax relief and other incentives taking part in the project.
Earlier this year, the government decided to fully reactivate the Strategic Development Projects Act (SPDA) in a bid to attract foreign investments to the country.
The pharmaceutical manufacturing industry has been identified as a key industry that could attract foreign direct investments and as a potential export industry by the Presidential Task Force for the Economic Revival and Eradication of Poverty led by Basil Rajapaksa.
Sri Lanka currently meets 85 percent of its drug requirement through imports at an annual cost of around Rs.130 billion.
President Gotabaya Rajapaksa recently announced plans to meet 50 percent of the country’s pharmaceutical requirement locally over the next three years, saving an estimated Rs.60 billion in import
expenditure per annum.