IOL Chemicals and Pharmaceuticals Limited (IOLCP), a public listed company on BSE and one of the largest producers and exporters of organic chemicals and bulk drugs, has announced that it will hire around 400 new employees to add on to its existing workforce of over 900 by the end of year 2009. Despite the global economic slowdown, this is a big stride by IOLCP towards gearing itself for global opportunities in the pharmaceutical industry.
IOLCP’s new workforce will primarily take care of the proposed expansion with an investment outlay of Rs 216 crore which would include the capacity expansion for its various product lines; forward integration in chemical division and backward integration in pharmaceutical division to produce raw materials for its flagship product Ibuprofen; and increase in cogeneration of power. IOLCP is also diversifying to produce anti-ulcerants or proton pump inhibitors (PPIs) like Rabiprazole and its series with a proposed investment outlay of Rs 80 crore. IOLCP expects revenue to the tine of Rs 250 crore from its PPIs business in the years to come.
Mr. Varinder Gupta, Chairman and Managing Director, IOL Chemicals and Pharmaceuticals Limited, said, “We are extremely enthusiastic about the possibilities that have arisen due to some latest developments. We have received certifications for exports of our most successful pharmaceutical product, Ibuprofen, to many new countries. We are working at an enormous pace to increase our manufacturing capacity so as to keep up with the burgeoning demand and the new workforce will play an instrumental role in the execution of our plans.”
IOLCP has recently received coveted certifications for exports of its pharmaceutical products, Ibuprofen, to various countries. These certifications include Accreditation Certificate of Foreign Drug Manufacture from Ministry of Health, Labor and Welfare, Japan; and Certificate of Pharmaceutical Product (COPP) from Director, Health & Family Welfare, Punjab, conforming to the WHO guidelines, which certifies IOLCP’s Ibuprofen as an Active Pharmaceuticals Ingredient (API) fit to be exported to other countries from India. Besides this, IOLCP has also received DMF acknowledgment for Ibuprofen from Food & Drug Administration, USA. IOLCP already exports its various products to many countries across the world including Argentina, Brazil, China, Denmark, Germany, Singapore, Hong Kong, Kenya, Malaysia, Peru, Egypt etc.
The production capacity of Ibuprofen has been the stronghold of IOLCP’s pharmaceutical operations and the company has recently boosted its Ibuprofen plant capacity to 3600 TPA from 1800 TPA. The company further aims to expand the capacity to 6000 TPA to cater to the new geographical markets abroad.
With forward integration in the chemical division, IOLCP intends to produce 4800 TPA of acetyl chloride and 6600 TPA of MCA which are raw materials for Ibuprofen. And with backward integration in pharmaceuticals division, IOLCP intends to produce 6000 TPA of IBB, another important raw material for Ibuprofen. Post forward and backward integration, IOLCP will become India's largest and world's second or third largest producer of Ibuprofen.
To effectively meet its enhanced energy requirement and to become more self-reliant, IOLCP is also constructing a new captive co-generation plant with additional capacity of 13 MW in addition to the existing cogeneration plant of 4 MW. The plant is expected to be commissioned by the end of year 2010 and will generate a total of 17MW of power for exclusive consumption by IOLCP’s manufacturing facilities.
About IOL Chemicals and Pharmaceuticals Limited
Established in 1986, IOLCP, a public-listed company (BSE), is one of the largest manufacturers of industrial chemicals and bulk drugs with presence in over 52 countries across the world. IOLCP manufactures and supplies Industrial Chemicals and Bulk Drugs for use in various pharmaceutical applications. Its product portfolio includes industrial chemicals, industrial organic chemicals such as acetic acid, glacial acetic acid, ethyl acetate, acetic anhydride and bulk drugs like ibuprofen.
The turnover of IOLCP in the year 2007-2008 was Rs.361.35 crore and the company is currently in a phase of expansion with an investment outlay of Rs.216 crore which would include capacity expansion for its various product lines, forward and backward integration and increase in cogeneration of power.
IOLCP's overseas customers are spread out across several countries including Bangladesh, Thailand, UAE, Syria, Singapore, Hong Kong, Pakistan, Egypt and many others. The company has strong business relationships with a number of prestigious clients such as Ranbaxy Labs, Dr Reddy, DS Group, CIPLA, Uflex Industries, ITC Limited, ICI Paints, Asian Paints, Pidilite, Rallis India, Hindustan Polymide, Gujarat Super Phosphate, and Avon Organics Ltd. etc. For more information on IOLCP, please visit http://www.iolcp.com
