The facility at the Stücki Science Park in Basel will initially on formulation development, drug product analytical development and quality control.
The site will also provide particle testing or container closure integrity testing services.
The contract manufacturing organisation (CMO) said that all services offered at the new laboratory will be available standalone or as part of larger services product development programmes.
A Lonza spokeswoman told us "We chose Basel for Lonza’s first-ever drug product development facility because it offers us access to the world-leading experts in a central location, one that’s a hub of innovation in the pharma industry."
Novartis, Roche, Basilea Pharmaceutica and Actelion are all headquartered in the city.
The spokeswoman also explained that "the lab will support development of large molecules and small molecules that require a parenteral dosage form."
"We have invested significant capital and operational expenses in order to staff, provide equipment and infrastructure to serve our customers with latest innovation, for competitive reasons we will however not be able to disclose the amount."
She added that the firm will not be relocating any of its current testing facilities, explaining that: "Operations at other facilities will not be affected by the opening of the new laboratory."
Lonza employs 25 people at the laboratory.
2016 guidance
Last month, Lonza raised its full year guidance after growth of its biopharma businesses in the third quarter.
The Swiss life sciences revised its forecast this week, predicting that operating profit, EBIT, for 2016 will be 15% higher than the CHF524m ($527m) it generated last year.