Sproxil Inc, a global brand protection company with its novel Mobile Product Authentication (MPA) technology, would help to restrict proliferation of counterfeit medicines in the developing markets. The company has received a fund infusion of $1.8 million from Acumen to kickstart the technology in India and East African countries of Kenya, Tanzania and Uganda in East Africa.

MPA technology is the world’s only patented consumer SMS (Short Message Service) verification service via cell phone. It enables consumers to verify the authenticity of a pharmaceutical product by sending the unique code on the drug as a free text. Sproxil also allows product authentication and supply chain consulting services to pharma companies.

The company has already signed up two major pharma companies in India at Mumbai and Bangalore who will use MPA to prevent drug counterfeit. Names were withheld for reasons of  business confidentiality.

The technology which will drive economies-of-scale would benefit consumers, government and the pharma companies. It will help the consumer who purchases the drugs from the pharmacy counter to get a customized text message on his cell response indicating that the product is not fake and with health literacy tips for the condition for which the medicine is prescribed.

Further, Sproxil has ensured smooth compliance of MPA with Indian pharma companies adhering to the Indian regulatory requirements. With the implementation of bar codes for drug exports being enforced in October 2011, Sproxil views the India launch as a right time, stated Dr Ashifi Gogo, chief executive officer, Sproxil Inc.

The US-based company, set up in 2009, launched MPA in February 2010  with Merck Serono as a pilot project for its anti diabetic product Glycophage. It has established the first national mobile-based anti-counterfeit service in Africa and sold millions of anti-counterfeit labels. The anti-counterfeiting strategy is now adopted by GlaxoSmithKline for its drug Ampiclox and Johnson & Johnson Janssen for its derma cream ‘Cilag (Nizoral). Currently, it has provided the mobile based solution.

MPA development has been supported by IBM the global IT solutions provider where the latter chipped the required expertise in technology development and support.

“India has one of the largest pharmaceutical markets globally, but is plagued by counterfeit medicines made elsewhere that tarnish its image. MPA would  enable Indian companies to reduce the presence of counterfeit medicines by connecting companies directly to their consumers in a scalable manner, using mobile phones. MPA architecture combines secure interlocking technologies and makes counterfeiting unprofitable,” he added.

“India forms an integral part of Sproxil’s global strategy, as more than 80 per cent of the Indian pharmaceutical manufacturers are based in the West and the South of India and therefore we have connected with companies in Mumbai and Bangalore. The country ships drugs to over 150 countries and is a key suppliers to emerging markets where counterfeiting is often an issue. Brand and product pirates in Indian markets pose a significant risk to legitimate Indian manufacturers, leading to brand degradation, decrease in sales and consumer purchasing apprehension,” said Dr Gogo.

With a mobile subscriber base crossing 812 million in India, Sproxil also plans to make India hub for the technology for the South East Asian region, once it garners its customer base.