Pharmaceutical manufacturers have warned of an imminent increase in medicine prices, citing soaring fuel costs, rising raw material prices, and escalating freight charges that have made current pricing unsustainable.
The Sri Lanka Pharmaceutical Manufacturers’ Association (SLPMA) said yesterday (23) that it will be compelled to seek a price revision from both the Government and the private sector once existing stocks of raw materials are exhausted.
Responding to queries from The Daily Morning, SLPMA President Nalin Kannangara said that manufacturers are currently relying on previously purchased raw materials, allowing them to maintain existing prices only for a limited period.
“Everything has now reached a point where we cannot continue manufacturing and supplying to either the Government or private sector at the old prices,” he said. “The cost of raw materials, mostly imported from India, along with freight charges, has increased significantly. We will have to adjust our prices at least to cover manufacturing costs.”
Kannangara noted that suppliers of pharmaceutical raw materials have also indicated that they are unable to continue providing inputs at previous rates, further compounding the pressure on local manufacturers.
He warned that while there may not be an immediate price increase, the situation is expected to change within the next two to four weeks as existing inventories are depleted.
“At present, local manufacturers are operating on old stocks. Once these are used up, we will have no option but to request a price increase for our products from both the Government and private sector,” he said, adding that the industry is not seeking excessive profit margins but merely aiming to offset rising production costs.
The warning comes amid a broader economic strain triggered by the ongoing Middle East crisis, which has driven up global fuel prices and disrupted supply chains, affecting multiple sectors across Sri Lanka.
Despite the mounting challenges, Kannangara assured that local pharmaceutical companies are striving to maintain a steady supply of medicines to both State and private healthcare providers.
“There could be minor shortfalls due to delays in the arrival of raw materials, but we are committed to continuing our supplies,” he said.