Indonesian Political, Business & Finance News

New group to help pharmaceutical

New group to help pharmaceutical

JAKARTA (JP): Five companies have established a consortium for
the production of raw materials for pharmaceuticals which will
help increase the efficiency of the country's pharmaceuticals
manufacturers, an executive says.

The president of PT Indofarma, Gunawan Pranoto, said yesterday
that the consortium had been established, in response to a call
from Minister of Health Sujudi, by Indofarma, PT Kimia Farma, PT
Kalbe Farma, the Gemala Group and PT Tempo.

Gunawan said the consortium was still considering which raw
materials would be produced to meet the long-term targets of the
Indonesian pharmaceuticals industry.

The consortium has also yet to decide on the technology to be
employed.

"We wouldn't want technology which will quickly be outdated,"
he said. "The consortium's plant is expected to produce more than
one type of raw material."

The plant, which is expected to require some Rp 10 billion
(US$4.5 million) in initial investment, will be managed jointly
by the five companies, he said.

Gunawan said the consortium was exploring the possibility of
revamping the Gemala Group's pharmaceutical plant in Gresik, East
Java, which used to produce pharmaceuticals under license from
Bayer, Germany.

Indonesian pharmaceutical companies currently import most of
their raw materials. Indofarma, for example, currently imports
more than 80 percent of its raw materials from Japan, China,
India and European countries.

Gunawan told reporters that Indofarma planned, this year, to
start exporting its products to a number of countries, including
Myanmar, Vietnam, Russia, Yemen and Sudan.

Kalbe Farma currently exports pharmaceuticals to several
African and Southeast Asian countries. (pwn)

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