Indian pharmaceutical firm to set up shop in RP

MANILA, Philippines - India’s third biggest pharmaceutical firm is expected to soon enter the P76-billion Philippine market through a distribution deal that will take advantage of government policy allowing the entry of cheaper medicines. Dr. Reddy’s Laboratories Ltd.’s application to transact business in the country has already been approved by the Securities and Exchange Commission. In its application, the firm said it would "undertake information dissemination, act as communication center and promote company products as well as quality control of products for export." Company officials were not immediately available for comment but Indian Chamber of Commerce Philippines, Inc. President Ram Sitaldas told BusinessWorld that his organization had been enticing Dr. Reddy’s to put up a local plant. The Indian company, he said, already has an office in Makati. "We will show [them] a place ... in Bulacan [this week]. Hopefully they will consider it. They said they are looking at putting up a plant two years from now. It can be a manufacturing or packing plant," Mr. Sitaldas said in an interview last Friday. In a statement on its website, Rajesh Kumar, Dr. Reddy’s head for ASEAN, Middle East, Eastern Europe and the rest of Africa, said the Indian firm had partnered with Britton Marketing Corp. for the Philippine market. "Accessibility of quality and affordable medicines is among the pressing issues in the Philippines today. It is one of the key markets in the ASEAN region for us and being a leader in the generics space, Dr. Reddy’s has a lot to offer to the Filipino medical community and the people of Philippines," Mr. Kumar said. The company is initially targeting cardiology, diabetology, gastroenterology and pain management. The first phase will see brands like Omez (0meprazole), Stamlo M (amlodipine maleate), Resilo (losartan), Reclide (gliclazide), Cardiopril (ramipril), Rafree (meloxicam), Ciprolet (ciprofloxacin), and Finast (finasteride) being introduced to the Philippines. Present in more than 100 countries, Dr. Reddy’s has wholly-owned subsidiaries in the US, UK, Russia, Germany and Brazil; joint ventures in China, South Africa and Australia; representative offices in 16 countries; and third-party distribution set ups in 21 countries. In October 2007, President Gloria Macapagal-Arroyo visited India for a two-day visit where she encouraged Indian pharmaceutical firms to set up production facilities in the Philippines, which can be used as a base to export to other markets. During her visit, Indian firm Panacea Biotec Ltd. and the Philippines’ Specialty Clinic, Inc. signed a deal involving the importation and distribution of medicines and vaccines. The Cheaper Medicines Act, which is expected to be soon signed into law by Mrs. Arroyo, aims to strengthen competition by amending the Intellectual Property Code, among others allowing the importation of medicines from other countries where these are more affordable. - BusinessWorld