The Hindu Business Line : Ozone Group launching drugs at 50% lower price

Cheaper generics
It plans to launch five drugs in the segment of anti-biotic, anti-diarrhoeal, anti-ulcer and anti-pyretic and pain killers in July.
‘We are not aiming to get any major revenues from these products’

Thomas K. Thomas

New Delhi, June 25 In a bid to counter the large volume of spurious drugs being pumped into the market, domestic pharmaceutical companies are taking the lead in launching cheaper generic medicines.

Ozone Group (popular for its NoMarks brand), is launching a range of therapeutic drugs that will be priced 50 per cent lower than what is available in the market at present. The company plans to launch five drugs in the segment of anti-biotic, anti-diarrhoeal, anti-ulcer and anti-pyretic and pain killers in July.

Mr S.C. Sehgal, Chairman and Managing Director, Ozone Group, told Business Line that, “This is a social responsibility that we have taken upon ourselves by offering cheaper medicines that does not compromise on quality. That is why we have called it the EQ range, which stands for Economy with Quality. We are not aiming to get any major revenues from these products.”

According to WHO, 35 per cent of the world’s spurious drugs are produced in India. The spurious drugs worth nearly Rs 4,000 crore, which are about 20 per cent of the domestic pharmaceutical business, are manufactured in India. “The EQ launch is to primarily address three concerns: The increasing drug prices, taking many medicines out of the rural reach; the growing incidence of certain diseases among the poorer sections of the society; and the prevalence of high level of spurious drugs,” Mr Sehgal said.

“Combined with the guarantee of quality of Ozone’s WHO-GMP certified plants, this initiative will reduce the lure of low cost spurious products. We are starting with five drugs in July and have plans to launch another 40 drugs. This range will be launched nationally through Ozone’s wide national and regional distribution network,” he said.

The initial launch will include antibiotics (Quinolones: Ciprofloxacin), anti-diarrhoel (Ciprofloxacin + Tinidazole), anti-ulcer (Omeprazole), antipyretic (fever)/ Painkiller Nimesulide. The company plans to bring cheaper drugs for anti-malarial, anti-TB, anti-leprosy, anti-scabies, anti-lice and anti-cold.

Ozone is investing Rs 12-13 crore in manufacturing the range of drugs and is expecting revenues of around Rs 50 crore. The medicines will be manufactured from its existing WHO-GMP certified plants at Baddi (Himachal Pradesh) and Guwahati. Ozone Group had revenues of Rs 120 crore in 2007-08.

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