Will UP be hub for Chinese-dependent pharma raw materials?

Laurus Labs has licensed patents from IIT Kanpur on gene therapy and is in the process of investing Rs 100 crore on setting up a GMP (good manufacturing practice) pilot plant for cell and gene therapy products in IIT, Kanpur.

What can attract entrepreneurs in one pharma hub to consider investments into another state seeking to build an edge in pharma? Do not compete but complement the competencies. This, in a gist, was the burden of Hyderabad pharma leaders’ song in response to an investor pitch by the senior officials from the Uttar Pradesh government.

They were all for the state positioning itself as not yet another pharma hub but one that differentiated itself with a focus on niche areas like building global capacities for key starting materials, widely used chemicals and drug intermediates that are today sourced by the Indian pharma from China.

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Speaking at the meet organised in Hyderabad on Thursday, January 18th , some of the leaders from pharmaceutical and vaccine industry headquartered in Hyderabad shared their thoughts on what could be learnt from other pharma hubs and how UP could position itself as an attractive investment destination for the pharmaceutical companies.

Caustic lye & methanol

Other leaders who could not attend the meet because of travel of other compulsions spoke to this writer. While most were in sync with views on building niche competencies but also aim to provide like China some commonly used raw materials used in the process such as caustic lye and solvents like methanol or toluene, which in China are available through taps in pharma parks that are equipped with common utilities like electricity, steam, treated water apart from common facilities for testing or centralised laboratories for testing of products. In fact, a leading producer and exporter, who did not wish to be named, said the government of UP could go a step ahead of China and in times when sustainability is the theme song across businesses, offer green energy and hydrogen, there would be many units that would be interested in putting money into a facility in Uttar Pradesh. As some already see the future of pharmaceuticals in flow chemistry or a more sustainable continuous processing and in enzymatic reactions.

In UP for India

Krishna Ella, co-founder and chairman of Bharat Biotech International, urged the state to position the investor pitch as not ‘make in UP’ but ‘make in UP for India.’ He found it heartening that the state was seeking to encourage research and development and also focus on clinical trials, aspects that are yet to gain prominence in other state pitches.

Calling himself “a pure vaccine guy,” he said there is excess capacity in vaccines and now with the pandemic gone, some of it will be up for sale so there was no point trying to build more capacity.

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Laurus Labs & IIT Kanpur

Laurus Labs has licensed patents from IIT Kanpur on gene therapy and is in the process of investing Rs 100 crore on setting up a GMP (good manufacturing practice) pilot plant for cell and gene therapy products in IIT, Kanpur. “The facility is to ready by the end of the current calendar year,” according to Satyanarayana Chava, CEO of Laurus Labs.

A note issued by the UP government talks of the event as one held by the state in collaboration with the Bulk Drugs Manufacturers’ Association of India (BDMAI) and the Indian Drug Manufacturers Association (IDMA) – Telangana and Andhra Pradesh chapter.

Industry leaders

The conclave, the note said, ”witnessed the active participation of over 100 key industry leaders, distinguished speakers, government officials, scientists, and entrepreneurs. Dr. G.N. Singh, advisor to chief minister of Uttar Pradesh, welcomed the attendees and set the stage for insightful discussions on the opportunities available in Uttar Pradesh.”

Awanish Kumar Awasthi, advisor to chief minister, UP, shared the state government’s vision of becoming a USD 1 Trillion economy.

Dr. Venkat Jasti, Chairman & CEO of Suven Life Sciences Limited, Rajeev Nannapaneni, CEO, Natco Pharma attended the conclave apart R K Agrawal, National President of Bulk Drug Manufacturers Association, J Rajamouli, Chairman, Telangana State Board of the Indian Drug Manufacturers’ Association among others.

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