The Hindu Business Line : Elder Pharma, Reliance Life tie up for skin care products

In an effort to strengthen its foray into the skin-related or dermatology-segment - Elder Pharma Ltd has tied-up with Reliance Life Sciences (RLS) to source aloe vera extracts for skin-related products to be developed by Elder.

Mr Jagdish Saxena, Managing Director, Elder Pharma, told Business Line that his company had recently tied up with RLS to source extracts of the herbal plant, since RLS was among the largest manufacturers of aloe extracts.

Elder was planning to launch its dedicated dermatology-related division, Eldermis, next week and the basket of aloe-based products from this division would be called `Aloe Nourish', he said.

Meanwhile, Elder's new line of products would look to address skin-diseases such as psoriasis and eczema and the company expected this product-line to contribute about Rs 10 crore in its first year after launch, he said.

Comprising about nine products, Elder's skin-related products would be in the ethical segment, where products are given only on prescriptions. The domestic ethical dermatology market is estimated at Rs 1,000 crore and growing at 4 per cent, industry representatives said.

Other pharma companies in the fray include Nicholas Piramal India Ltd, which recently tied-up with Laboratories Pierre Fabre of France to exclusively sell the latter's dermatology-related products in India. Mid-sized pharma company Lupin Laboratories is also developing products in the segment, for illnesses like psoriasis.

Pharma industry analysts feel that the Elder tie-up could extend beyond aloe vera to other products as well, as RLS was into plant technology and industrial bio-technology, besides contract research.

Aloe vera is known to have a beneficial impact on the skin and Elder looks to harness the plant extracts to develop products that would combine the therapeutic effect with a cosmetic touch.

Meanwhile, Elder's early steps in the "cosmoceuticals segment" - that sought to fortify cosmetics with the therapeutic effect of pharma products -

was when it tied up with French dermatology company Biorga. Elder also has a tie-up with Shenaz Hussain for some products.

Competition, however, in the skin-care category hovers on the fringes - with a host of fast-moving consumer goods companies being hyperactive in the segment, albeit in the over-the-counter (OTC) space.