The agreement was signed on behalf of the Sri Lanka Pharmaceutical Manufacturing Corporation (SPMC) by Dr.Sayuru Samarasundera and by ministry secretary - Anura Jayawickrama on behalf of the ministry.
Project Manager Motoko Yotoshi signed on behalf of the Kanematsu Corporation of Japan, which will be building the plant.
The Plant will be built at a cost of Rs. 1.5 billion.
Speaking at the event, minister Rajitha Senaratne said that the SPMC, which is currently producing 1900m pills annually will increase production to 3800m once the plant is built.
He also said that the SPMC is currently catering to 43% of drug requirements in hospitals and this percentage will be increased to 70% once the plant is functioning.
Noting that the government hoped to provide every drug which is required in hospitals, the minister further said that it is also planned to locally source ingredients needed for drug production.
