American Pharma Company Eli Lilly
The world’s well-known American pharmaceutical company Eli Lilly has announced a huge investment of more than one billion dollars (about Rs 8880 crore) to increase its production capacity several times in India. In a statement issued by the company on Monday, it was said that this investment will be made through partnership with Indian drug makers in the coming years. The objective of this big step is to take advantage of India’s skilled professional workforce and strengthen the supply of its medicines worldwide.
This investment of the company is a great news for the drug manufacturing sector of India and it is an indication that the big companies of the world are seeing India not only a market, but as an important manufacturing hub. The direct benefit of this partnership will be given to crores of patients who are struggling with serious diseases like obesity, diabetes, Alzheimer, cancer and autoimmune. Eli Lily’s plan is to increase the availability of its major drugs used in the treatment of these diseases.
The worldwide supply chain is strong
Patrick Johnson, president of Elli Lily International, described this investment as an important part of the company’s global strategy. He said, “We are investing extensively to increase our drug manufacturing and supply capacity worldwide.” He emphasized that India is a major center for building capabilities within our global network. It is worth noting that the company currently does not run a manufacturing plant directly in India. Instead, it works closely with Indian companies that make complex medicines, vials and injections for large pharmaceutical companies on contract basis.
According to a report by Reuters, the company reported that it is actively connecting with contract makers in India, although it did not share any other information about it. This Bharat scheme of Lily has come at a time when global drug manufacturers are insisting on increasing their production capacity in America. In fact, the Trump administration had imposed 100% tariff on imported branded and patent medicines since October 1, after which companies have been making a new strategy about the supply chain. Last month, Lily announced an investment of $ 5 billion for a new facility in Virginia. Look at the huge market of India
‘Monjaro’ hit in India
Eli Lily launched her blockbuster drug ‘Monjaro’ (Mounjaro) for the treatment of obesity in India this year. Along with this, due to the arrival of Denmark’s drug company Novo Nordisk’s medicine ‘Vegovy’, awareness has increased rapidly among patients about the treatment of obesity in the country. According to an estimate, by 2050, India can become the second largest population with obesity in the world. This is the reason that the sale of both these medicines doubled within a few months of launch.
However, Lily will also have to be ready for strict competition from Indian generic drug makers in the future. Many Indian companies are preparing to launch a cheaper version of ‘Semaglutide’, the main chemical component of Vegi, as its patent is ending next year. Given this possible competition, Lily wants to strengthen its grip in the market by increasing its production capacity.
A new hideout will open in Hyderabad
To further strengthen its presence, Eli Lily is setting up a new manufacturing and quality center in the South Indian city of Hyderabad. This center will be in addition to the company’s global capability center in the city. The responsibility of this new hub will be to oversee the company’s contract manufacturing network and provide technical assistance to them.
The company said that the recruitment process for this new center will be started immediately. In this, engineers, chemists, analytical scientists, quality control and assurance experts as well as managers will also be appointed. This step will not only improve the supply of drugs in India, but will also create new-skilled employment opportunities at the local level, which will also strengthen the ‘Make in India’ campaign.