Bangladesh, a nation currently having more than a couple of hundred manufacturing facilities with huge potential in pharmaceutical formulations, is heading on a new path of industry economics for self-reliance. Aiming at minimizing the import dependency on basic drugs, the country''s prime concern is about building up of own capability in the manufacturing of active pharmaceutical ingredients(APIs), base materials and other allied industry inputs.
With around 200 formulation plants, which include even state-of-art facilities having approval for regulated markets, the country has only two API manufacturing facilities at present. The Bangladesh pharmaceutical industry, with serious absence of bulk drug as well as engineering and other allied sector to supplement its huge requirement, depends on the imports from India, China, UK and few other European countries heavily.
However, the combined capacity of the industry for the pharma formulation is huge and a number of com-panies have recently got approval from UNICEF as its global as well as local supplier of pharma products.
Besides, out of the total domestic requirement of medicines almost 95 per cent is met by the local manufacturing and the country also exports formulations to 27 countries around the world. The current turnover of the industry in the country is Bangladesh Taka 3,000 crore.
According to industry sources, the formulation industry in Bangladesh currently grows at the rate of 22 per cent. With this estimate, the expected business in year 2005 is 50,000 million Tk. Today, Bangladesh is dealing with USA, India, China, Taiwan, Hong Kong, European Union, Singapore, Malaysia, Pakistan, Sri Lanka, Thailand, Burma, Bhutan, Nepal, Yemen, Mauritius, Vietnam, Kampuchea, Laos, Mexico, Columbia, Ecuador, Kuraso Russia, Uzbekistan, Tazakistan, Kenya, Tunisia, Maldives, etc. as well as with the least developing countries where there is hardly any industry for the production of pharma formulations.
Though the country has all the potential to become a major global source of APIs and will also be able to produce drugs, which are still under patent protection, as the TRIPS Council meet at Doha has declared the least developed country(LDC) status to remain without patent regime till 2016, it needs active participation and contribution from local as well as foreign companies to build upon the capability.
However, the trend now seems to be favorable to the country as the domestic pharma industry as well as the companies from neighboring countries like India, China and even MNCs have queued up to put in investments on this front as every stakeholder will benefit of vast potential that Bangladesh can offer.
The local entrepreneurs are capable and willing to invest and collaborate with suitable foreign partners in order to develop the existing API manufacturing facilities. However, since there is strict quality awareness and the prevailing competition among the foreign supplier especially from China, the industry is still not sure about the viability of setting up own facilities for bulk and other allied products as the imports may prove economical. But the serious question concerns the industry is the reliability.
According to S M Shafiuzzaman, president, Bangladesh Aushad Shilpa Samity (Bangladesh Association of Pharmaceutical Industries - BAPI), since 1972 the Association has been the only recognized association for pharmaceutical manufacturers in Bangladesh playing pivotal role in the development of pharmaceutical sector.
BAPI, as the apex and premier pharmaceutical trade and promotion body of Bangladesh, has been very actively working on the industry development programmes to enhance the existing capabilities and also to promote the country''s industrial opportunities among the developed world by attract prospective collaborators in terms of technology, product sourcing, infrastructure etc.
"At present, our major focus is on increasing our bulk drug manufacturing capacity and the technology to attain self sufficiency. On the formulation front, our industry has achieved substantial growth by now. So that, we are even capable of catering to other markets including regulated markets besides domestic demand, " he adds.
BAPI currently represents the great majority of the pharma manufacturers who produce about ninety seven per cent of the country''s total requirement of pharmaceuticals. The Association has currently planned a host of events, which will provide excellent opportunity for exchanging new ideas and views with experts relating to pharmaceutical development from abroad. In events like Asia Pharma Expo 2003 to be organized in February next year, it has invited renowned speakers to discuss the implications of TRIPS on pharmaceutical industry and ways to meet the post-WTO challenges.
"I hope the pharmaceutical exhibitions will provide unique opportunities for our industry to learn from the areas of technology and process know-how, research and development, contract manufacturing, biotechnology and information technology. Similarly, we get an opportunity to show our potential and willingness to the outside world for them to collaborate with us for mutual growth," he said
India, as a close business partner to the country, has been transacting with it since long and still continues to be the major trade partner in the areas of bulk drugs, pharma machinery and other allied sectors. The total pharma exports of India to Bangladesh have been increasing steadily over the years. During 1999-2000, India exported drugs to Bang-ladesh to the tune of Rs 934.1 million. It grew to Rs 1361. 6 million in 2000-2001 and showing a further growth in current year as the first six months'' exports have touched Rs 1262 million.
The bulk drug majors from India namely Dr Reddy''s Laboratory, Sun Pharmaceuticals, Ranbaxy, Aurabindo and many others are already in advance stages of setting up bulk drug manufacturing facilities in Bangladesh, besides a large number of companies including JB Chemicals and Pharmaceuticals, Glenmark, Ajanta Pharma, Fabicare, Zydus Cadila, Cadila Pharma are trading with the country in bulk drugs in big volumes.
Presently top pharma companies in Bangladesh are also in the process of getting into bulk drug production with collaborative technology, technology transfers and joint venture basis. The large-scale players in the Bangladesh pharmaceutical industry currently include Square Pharma, Beximco, Alma, Apson Chemicals, FEI, Araneta, General Pharma, Hudson Pharma and SKF among others.The MNCs that have a major presence in the country''s pharma sector are Aventis, Pfizer, Novartis and Astra Zeneca.