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Tamiflu, an export opportunity for domestic drug cos

P.T. Jyothi Datta

Queries are coming in from South-East Asian and African countries and some developed markets for generic versions of Tamiflu.

Mumbai , Dec. 19

EXPORT opportunities are knocking at the doors of generic drug companies in India, as more countries prepare for a possible outbreak of bird-flu.

Queries are coming in from South-East Asian and African countries and some developed markets for generic versions of Tamiflu, the medicine known to mitigate the effects of bird-flu, an official with the Chemicals and Fertilisers Ministry told Business Line.

While some are Government queries, as in the case of Tunisia, others are being routed through overseas companies directly to Indian generic drug producers, he said.

Cipla's Joint Managing Director, Mr Amar Lulla, confirmed that the company had received queries from overseas markets. The company would look at manufacture and export when an agreement formalises in countries where the Gilead-Roche combine does not have a patent.

Cipla has had discussions with Roche on the patent-status of Tamiflu. But with no product patent being issued on Tamiflu in India, Mr Lulla said the company would explore domestic and export opportunities.

Ranbaxy's Chief Executive Officer and Managing Director, Dr Brian Tempest, had indicated in a statement earlier this month that the company was prepared to meet the needs of the US healthcare system and was willing to partner with organisations, including the innovator, to meet this public health challenge.

Taking it a step further, an official with Hetero Drugs said that queries are being converted into orders and exports can be effected as soon as manufacture commences. He pointed out that queries were not only coming from countries such as Thailand or Vietnam, but also from companies in developed countries.

Governments are not willing to take a chance on the perceived threat of bird-flu. So they are stock-piling, whether or not the disease mutates to affect humans. There is concern on what happens to Tamiflu if it does not get used. Unlike Ciprofloxacin (which was procured when the Anthrax scare hit the US), Tamiflu is not prescribed for any other indications, he said.

However, governments are making their contingency plans and, based on this certainty, overseas companies are looking to formalise deals with generic drug makers in India, he said.

Overseas companies are looking at sourcing the bulk ingredient from Indian generic drug makers. The final dosage form will be developed in the respective country and this strategy helps keep costs under control, he said. With patents being a delicate issue, both countries and governments are treading cautiously. Generic companies are keeping a margin for royalty payments to the innovator, if the situation arises, he said.

No estimates were given on the size of the orders that local companies could land. But with the rising cost of raw materials for the drug and the requirement being world-wide, the size could run into a few hundred crore rupees, he estimated.

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