The Rs 260 crore Ind-Swift group has initiated talks with two European drug firms to jointly develop new molecules at its research and development (R&D) centre in Chandigarh.
The molecules will be developed under a contract research initiative and later the molecule will be owned by the foreign firm. "Our main involvement will be in the initial level in this case. In certain alliances, we could jointly own it after the research," V K Mehta, joint managing director, said here on Thursday.
According to analysts, with 2005 WTO regime in mind, many pharma companies are concentrating now on new chemical entities (NCEs) and novel drug delivery systems (NDDS).
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Without making fundamental research, small and medium firms in India will be under pressure owing to competition from foreign firms.
"Though the WTO regime is going to be led by patent era, but Indian pharma firms with their process engineering skills / reverse engineering skills can always prove to be a synergistic partners with the foreign R&D initiatives, that is where you will find lot of contract R&D happening in the coming years with the Indian pharma companies," analysts added.
The Chandigarh-based Ind-Swift Laboratories is also planning to introduce 20-25 new molecules in the current year. The company has earmarked 2-3 per cent of its turnover for R&D initiatives.
Ind-Swift has also decided to file two patents for new drug delivery systems in the area of gastrointestinal, among others. It has already filed an patent application for anti-infective and anti-histaminic products, Mehta said.
The current global market for NDDS products is estimated to be around $20 billion, which is around 7 per cent of total global pharmaceutical market. The segment is expected to grow at the rate of 16 per cent per annum.
The launch of modified products of known molecules which are on the verge of product patent expiry has already boosted the sales of a number of pharma firms into leading brands in international market.
In 2001-02, Ind-Swift invested in production capacity and research facilities to support growth and to meet increased global demand. This focus will strengthen its research activities in gynaecology, cardiology, diabetology and pediatrics.