Frost & Sullivan’s Opportunities in Life Science Molecules: Global Partnership Summit

Mr. J.C. Saigal, Executive Director (International), Nicholas Piramal India Ltd. gave the introductory talk on Custom Manufacturing in India. The three days of the conference saw thought leaders from the world’s leading companies talking about active pharma ingredients and intermediates, contract research, custom synthesis and partner selection for new chemical entities.

India is currently among the top five global manufacturers of Active Pharma Ingredients (APIs). The production of APIs continues to swell with an increasing number of international companies making a beeline to India to meet their API supply needs. Frost & Sullivan estimates that the total production of bulk drugs and intermediates in India was $1.5-2 billion in 2004. Almost 70 percent of the total bulk drug production is exported.

“With well-established reverse engineering skills, proven expertise in process development, synthesis, API and formulation development in addition to the inherent cost advantage, Indian partnerships in the API and formulation development domain of the R&D value chain are huge. Backed by these credentials, the chemistry expertise and other advantages, Indian players can evolve to be partners of choice for chemistry and chemistry related services”, says Aditya Sapru, Director and Partner, Frost & Sullivan, India.

Mr. Ed Robinson, Executive Vice President, Europe and Asia, Cambrex Pharma and Biopharma while speaking on Opportunities for Contract Research and Custom Synthesis in changing global pharmaceutical environment said, “Competition is healthy but will cause painful dislocations in outsourcing. The western Contract Manufacturing Organizations (CMO’s) must adapt to survive until a new equilibrium in reached – 5-15 years. However, the global CMO’s with diverse products and services will continue to prosper if they answer the challenges from Asia and the Asian competitors must set high standards with a long term view of their market potential.”

In order to understand the relevant and strategic issues of the growing symbiotic relationship between global and Indian fine chemical and drug manufacturers, Frost & Sullivan hosted this three-day international summit, in Goa, one of the most exotic and multicultural states in India. It was a conclave of great thinkers, strategic decision makers, and corporate heads of the leading pharmaceutical fine chemical companies. Providing an ideal platform for international companies to network with each other, and with leading Indian manufacturers.

Dr. Lukas Utiger, Head Exclusive Synthesis, Lonza speaking on the opportunity of outsourcing and technology licensing said, “Pharma Paradigm shifts will have a mainly positive impact on Asian Contract Research Organization’s and Contract Manufacturing Organization’s mid to long term. Large opportunities can be developed in the CMO & CRO areas, if certain key assumptions are met like, confidentiality, “Non patent infringing” new processes (WHO patent guidelines), Open communication & information flow (supplier to customer), understanding the product quality constraints & change control in production process, understanding of long term relationships between business partners and lastly acceptance of cultural differences & willingness to breach the differences. “.

“One can say that the opportunities that have, and would emerge post the introduction of product patents, increased R&D focus coupled with technical expertise of Indian manufacturers, and the determination to become world-class players, augurs well for the Indian pharmaceutical industry as a whole. India has established itself as a key pharmaceutical world player; it is time Indian manufacturers positively seek and initiate strategic and sustainable partnerships,” said Mamta Wadhwa, Industry Manager, Chemicals Materials & Foods, Frost & Sullivan, India.

Not only technical but also strategic and marketing issues were discussed in this gathering of leaders from Indian and global pharmaceuticals and fine chemicals industries. Corporate and research heads from Lonza, DSM Pharma Chemicals, Cambrex Corporation, LANXESS, Diosynth, Bachem, American Pharmaceutical Partners, Alpharma, and Wyeth Research addressed the conference. With international participation from leading pharmaceutical companies, this summit was an arena for knowledge exchange in the areas of R&D, strategic partnership and outsourcing, emerging technologies in drug manufacturing, custom synthesis, global leadership, and many more.

Added to the range of discussions and presentations were two focused interactive workshops – one on the generic drug industry, and the other on achieving successful outsourcing partnerships, facilitated by experienced professionals from around the world.

This international conference organized by Frost & Sullivan provided an opportunity for established participants as well as entrants to capitalize on this phase of pharmaceutical upswing by interacting with global leaders, initiate business partnerships, and thereby, charter their strategic road-map for long-term growth.

About Frost & Sullivan: Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community, by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics. For more information, visit http://www.frost.com.

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Samantha Unnikrishnan - Executive Corporate Communications

Frost & Sullivan
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