Avanti eyes Africa, Southeast Asia mkts

City-based Avanti Laboratories Limited, the first company in India to manufacture bio ceramic composite synthetic materials as bone graft substitutes, is planning to venture into overseas markets in Southeast Asia and Africa.

The company which has presence in Andhra Pradesh, Kerala, Karnataka, Tamil Nadu and Jammu and Kashmir, is also expanding its network to other states.

Speaking to Business Standard, K Wajid Ali Khan, managing director of Avanti Laboratories, said that at present the company was holding negotiations with some companies in Malaysia, Indonesia and Dubai.

The company, which has a state-of-the-art plant at APIIC Mankahal industrial estate at Maheshwaram mandal in Ranga Reddy district, manufactures hydroxyapatite (HAP) and beta tri calcium phosphate and their composites. The products were launched three months ago.

Both the products from the company "� Ortograf LD and Ortograf D "� conform to the American Standards of Testing Materials (ASTM).

Ortograf LD is a bone grafting material which is synthetic, osteoconductive and non-ceramic form of hydroxyapatitite and beta tri calcium phosphate, the major mineral components found in natural bone and dental enamel.

Ortograf D is ceramic form of synthetic hydroxyapatite and is small particles intended for increasing bone density and prevention of crestal bone loss.

The company acquired exclusive rights for technology from PMRI, Minsk, Republic of Belarus, and spf Medkam, Moscow.

Wajid Ali Khan said clinical trails for the products were successfully completed in March 2002 and required permissions were obtained from the Drug Controller General of India and the state government in 2003. The company claims to be the only one to cater the needs for bone graft material from both orthopedics and dental surgeons.

Wajid Ali Khan said the initial response to the products was highly encouraging and enquiries were received from a few companies abroad for marketing products as well as investment purposes.

On the marketsize for bone graft substituting materials in the country, he said it was around Rs 100 crore and most of the material was imported.

Though, the demand for such products is perceived to be three times higher, the demand was unlikely to fully materialise until the vastly used bovine bone graft was sought to be replaced by bio compatible materials.

The company markets the products at fifty per cent of the cost of the imported materials. Each gram of the Indian company's material costs around Rs 1,200.

Of the total project cost of Rs 6.4 crore, the company received term loans worth Rs 3.16 crore from IDBI. IDBI also accorded sanction for an equity participation of Rs 1.5 crore and the remaining being the promoters' contribution, Wajid Ali Khan said.