The union commerce ministry is likely to enter into a protocol with the Japanese government to boost the pharmaceuticals trade between the two countries, during the Convention on Pharmaceutical Ingredients (CPhI) Japan 2012 which is to be held in Tokyo from March 21 to 23 this year. The government's initiative in this regard is aimed at tapping the opportunities that Japan will be providing to the Indian generic pharma companies.
According to sources, union commerce and industry minister Anand Sharma will be travelling to Japan with other delegates from the ministry along with the Pharmexcil team to look at the possibility of having closer trade relation under the Comprehensive Economic Partnership Agreement (CEPA) between India and Japan that was signed in August last year.
Dr P V Appaji, executive director of Pharmexcil informed that the commerce ministry is exploring the possibility of entering into this protocol with Japan under CEPA which if signed will boost pharma trade between the two countries tremendously. “If things go as planned, this initiative by the government will act as a huge impetus to the Indian generic industry that is looking forward to do business in Japan. It will be mutually beneficial for both the countries as it will extend the scope of mutual understanding and help in strengthening trade relations between Japan and India,” Dr Appaji said.
He informed that this move comes in the wake of Japan's new approach towards India which gives national treatment to Indian companies who are looking forward to start business in Japan. Till recently, Japan had stringent policy when it came to generic pharma business that refrained companies from looking at opportunities in Japan.
“Japan has a huge potential for generics that can be explored by the Indian exporters which can be mutually beneficial for both of the countries. Now with the market being opened for the Indian players it can provide an excellent opportunity by generating more business for the Indian pharmaceuticals manufacturers and exporters,” Dr Appaji informed.
Sources informed that a stronger bilateral trade between India and Japan can propel the growth of business between the two countries to help touch $25 billion by 2014.