According to The Times of India’s Rupali Mukherjee, Glenmark Pharma is planning to set up a new plant in the U.S. to serve the domestic market. “With quality issues continuing to dog domestic pharma industry,” Mukherjee reports, “more companies are de-risking their growth strategy by setting up manufacturing facilities in the U.S., the world's most lucrative market.” Over recent years, explains The Times of India reporter, leading companies like Ranbaxy, Sun Pharma and Wockhardt have faced regulatory action by the USFDA over quality issues at their domestic facilities.
Jumping on the Bandwagon
The latest to jump on the bandwagon is Mumbai-based Glenmark Pharma, says Mukherjee, which has sales of generic drugs totaling $65 billion. Over the years, continues the report, leading companies like Ranbaxy, Sun Pharma and Dr Reddy's have either invested in new facilities or acquired existing capacity to grow their share in the fast-growing generics business. “India is the largest supplier of generic medicines to the U.S., notes Mukherjee,” around 20 percent in volume and 12 percent in value terms, according to IMS.”
According to sources close to the development, says the report, Glenmark Pharma is planning to build a state-of-the-art manufacturing facility estimated to cost $100 million, over a period of four to five years and is planning to initially manufacture oral solids then move on to injectables and topicals later.