US-based Sigma-Aldrich Corporation is planning to construct a $8 million laboratory scale production complex at ICICI Knowledge Park in Hyderabad. The lab is to come up in an area of 50,000 sq. ft and the entire facility would occupy about 10 acres of land. The facility is to focus on contract research, process development and small-scale custom synthesis catering to the needs of pharmaceutical companies.

The company's initiative forms part of its budget proposal for the year 2004 to a tune of $88 million. The facility is to serve as a feeder site for the company's large scale production operations in Germany, Switzerland, the UK and the US. The company is planning to commence its operations at the upcoming Hyderabad facility by the first quarter of 2005. The upcoming facility is the company's first in the Asian region. About 70-80 new chemists are likely to be recruited shortly. The company is also interested in building new assets world over.

Jai Nagarkatti, president, Scientific Research said that the facility is the company's logical step in its bid to take up expansion in India. It is designed to be an Export Oriented Unit (EOU). The company, which started its operations in the country in 1992 with a liaison office, has been able to grow its business rapidly, achieving sales of about $11 million over the past three years. The company's sales in India has been grown at a rate of 29 per cent.

Sigma-Aldrich, is a life science and technology company with interests in biochemical,organic chemical products and kits which have significant use in scientific and genomic research, biotechnology, pharmaceutical development, the diagnosis of disease and chemical manufacturing.

The company serves life sciences companies, universities and government institutions, and hospitals. According to company sources, over one million scientists and technologists use the company's products. It operates in 34 countries and has 5000 employees. The company gets 1500 orders for its products.

Out of its total revenues, the pharma industry alone contributes to about 40 per cent, whereas 30 per cent of revenue is generates from universities, 20 per cent is through chemical industry, and rest being generated by hospitals and clinics. About 75 per cent of its products belong to life sciences.