Hyderabad-based Aurobindo Pharma will be joining hands with Pfizer yet again, this time for exploring the fast growing Japanese and Korean generics market. The company is expected to sign another deal with Pfizer to this effect, shortly. The company now has a strategic alliance with Pfizer to market about 100 products in geographies including the US, Europe and other emerging markets. The Japanese market is a highly-regulated one, but offers a market size of $80 billion, according to estimates.
Talking to FE, PV Ramprasad Reddy, chairman, Aurobindo Pharma, said, ?We will soon be exploring the Japanese and Korean markets through an agreement with Pfizer for supply of bulk drugs,? he said. According to Reddy, the company proposes to manufacture about 30 active pharmaceutical ingredients (APIs) to Pfizer, which in turn, will take care of packaging and branding, he added. Pfizer already has three formulation units in Japan.
?We would specially renovate one of our plant in AP at an investment of $8 million, which would adhere to all the regulatory norms of the Japanese government norms,” Reddy said, adding that Pfizer would take care of the renovation expenses. According to Reddy, the partnership alliance is mutually beneficial. The company?s product portfolio is spread over six major therapeutic/product areas encompassing antibiotics, anti-retrovirals, CVS, CNS, gastroenterologicals and anti-allergics.
Early last year, Aurobindo Pharma had expanded its partnership by executing licensing and supply agreements for several solid dosage and sterile products with Pfizer Inc. The agreement allows access to Pfizer?s newly-formed established product business unit. Currently, Pfizer is marketing 27 products in the US and 63 in Europe.
Global companies are now increasingly developing a presence in Japan for both R&D and marketing. Presently, only two Indian companies Ranbaxy Laboratories (through Daiichi Sankyo) and Lupin are tapping the generic drug opportunity. Incidentally, the Japanese market holds immense potential for global generic pharmaceutical companies and with the Japanese government focusing on increasing adoption and generics penetration, the market is estimated to grow at a very faster rate in the next three years. Dr Reddy?s Laboratories too is on the lookout for a partner in Japan.