Indoco focus on R&D

New regulated regimes require newer strategies. With the product patents set to replace the process patents from January, 2005, the Mumbai-based Indoco Remedies Ltd will focus on the contract manufacturing and contract research activities.

Under the new strategy, Indoco will manufacture drugs for overseas pharmaceutical companies on a contract basis. The company has already identified 15 international partners from the US and Europe. Further, the company will also apply for USFDA nod for its second manufacturing unit at Goa.

"major global pharma companies, concentrating on new drug development, are eyeing India for contract manufacturing and marketing of their formulations. Our focus on contract manufacturing and contract R&D for our overseas partners would act as future growth engines for the company," Suresh G Kare, chairman and managing director, Indoco Remedies told Business Standard on Tuesday.

The company has already started contract manufacturing for the UK-based Galfam Pharma, Zazga Pahrma, LPC pharma, and Milpharm.

"Any pharmaceutical company in India having approval of the foreign regulatory authorities will have an edge for contract manufacturing. Our Goa plant is approved by the UK-MHRA for solid dosage and we expect to get USFDA approval for our second plant in Goa soon. We are in talk with global pharmaceuticals majors in different countries such as the US, the UK, Germany and the Netherlands for contract manufacturing," said Kare.

"To further strengthen the pipeline of new product development in the API segment, the company is setting up new R&D facility at Navi Mumbai. The company is actively pursuing to enter the lucrative contract manufacture of formulations and contract research and analytical method development for the regulated market," said Sundeep Bambolkar, director, finance and operations.

The company, at present, operates four distinct business units namely, Indoco, Spade, Radius, and Warren, each with a niche segment to cater to. Indoco contributes 50 per cent of the revenue of the company and focuses on therapeutic segments such as anti-colds, anti-spasmodics, anti-infectives, stomatologicals, anti-fungals, anti-inflammatory, multi vitamins and cough and cold preparations besides certain lifestyle diseases such as diabetics and cardio-vascular. Some of the leading brands in Indogo's basket include Febrex Plus, Cyclopam, Vepan, Tuspel Plus and Atherochek.

Spade is involved in marketing drugs for the gynecology and pediatric ailments. The major brands with its division include Febrex Plus, ATM, Aloha, Estab and Cyclomeff.

Radius launched in 2002, focuses on chronic diseases, with primary thrust on diabetes and cardiovascular therapeutic segments. The main products sustaining the division's revenues include Cholechek, Amchek, Prechek and Clopirad.

Warren, acquired in 1999, contributes significantly in the stomathological and opthalomology segments. The brands in this division are Sensodent, Rexidin, Lignox, Dexoren, Tobaren and Dentogel.