Bal Pharma, the medium-sized pharma company in Karnataka is on an export over drive mode. The company is looking at expanding its international presence and plans to enter the regulated markets. The decision comes as its new formulation plant at Uttaranchal, set up at an investment of Rs 25 crore, is ready to deliver the range of products to 15 countries.
“Exports have contributed 38 per cent of the total turnover of Rs 106 crore for fiscal 2008-09. We hope to see revenues from international markets to be around 50 per cent of our total earnings in 2009-10. The company always been geared up to fire the competition. It has done well in the first nine months in export of formulations and active pharmaceutical ingredients (APIs). In fact, both the segments grew in the international market,” Archana Dubey Mitra, associate vice president–Exports, Bal Pharma Limited told Pharmabiz.
For Bal Pharma, its fastest growing international markets are Europe, UK, Canada and Japan for API. Its range of formulations are much-sought after in Africa and South East Asia.
Among the most popular products in the export basket are Gliclazide and Amiloride in the API segment and under formulations most of the generics and anti diabetic range.
“The company has a sound strategy in place and the same would be implemented to ensure our hold in existing market with expansion plans to enter the regulated markets,” she said.
The global economic slowdown has not impacted the pharma industry. The slowdowns were seen earlier due to control on inventories, however this has not lasted long hence pharma exports are back again.
On the strong lobby of multinational companies who are against exports of Indian generic drugs to African and Latin American countries, Mitra said that Indian pharmaceutical companies with strong strategies, quality products in place and good GMP practices can fight the competition with big pharma in the world market.
“What is noticed in Latin America or other world markets has been earlier true for US and other regulated markets. But Indian companies have successfully entered these markets and have a proof in place. In fact India has the highest number of US FDA plant approvals of over 100 as compared to any others countries in the developing world. Therefore future is only for companies who follow systems,” stated Mitra.
She said that the Centre could definitely play a role to support the sector by way of improving bilateral talks in trying to reduce qualitative restrictions on Indian products. For instance, Gulf countries used to insist on Europe or US approval of products to register in their countries. Another effort would be to re-look at the customs duties which could make Indian companies more competitive in the other emerging markets.