A couple of new facility announcements coming from geographies that are considered to be part of the pharmerging markets.
First, Ranbaxy announces that it will be building a new $24 M Euro facility in South Africa, the 3rd facility to be built in that country. The plant will make analgesics, cold and flu medicines, as well as medication for blood pressure and CNS problems. The plant will be able to produce 2 B tablets annually at full capacity. The South African government has made support of pharmaceutical manufacturing a key strategy to boost exports and reduce its trade deficit. This is increasingly appealing to Indian manufacturers to set up operations there.
Second, Boehringer Ingelheim announced its plan to build a $100 M Euro "Center of Competence" in China's Waigaoqiao Free Trade Zone. The CoC will optimize API and chemical intermediate sourcing in China. It will be supported by BI's main offices in Shanghai. This is a move to strengthen the supply chain in East Asia as China is targeted to play a stronger role in the company;s global procurement plan. The CoC will have two divisions focusing on Process Development and Quality Control respectively. BI is also considering an expansion of its production capacity in its Shanghai plant in Zhangjiang High-Tech Park.
Posted by Bruce Lehr September 2nd 2010.