Global Pharma to Pump Cash Into Russia

03.11.2011 -


Viiv Healthcare, a GlaxoSmithKline and Pfizer joint venture, will start manufacturing HIV medicines in Russia in partnership with local drugmaker Binnopharm. Agreeing a local partnership is a way for international drug companies to secure guaranteed sales in Russia, which wants to reduce dependence on imported drugs. Global drugmakers have pledged at least $1 billion in investments in Russian manufacturing, packaging and research and development.

Below are the international pharmaceuticals producers that have existing facilities in Russia, those that have announced plans to set up local manufacturing sites, or are considering such a move:

GlaxoSmithKline -Viiv Healthcare, an HIV company set up two years ago by GlaxoSmithKline and Pfizer, and Russia's Binnopharm said on Wednesday the Russian firm would manufacture ViiV's drugs for the local market. The British group and Binnopharm, a unit of Russia's Sistema , earlier agreed that the Russian firm will make Glaxo's cervical cancer, rotavirus and pneumococcal vaccines for the Russian market. Glaxo already has a hepatitis vaccine filling and packaging plant as part of a joint venture with local Russian partners.

AstraZeneca - Anglo-Swedish firm said in June it would set up a new research centre in St Petersburg, having earlier this year pledged more than $150 million in investments into construction of a Russian manufacturing plant.  

Genzyme -The U.S. biotech firm said in March it planned joint research projects with Russian high-tech centre ChemRar, including joint research on three to five of Russia's topical therapeutic fields and technology transfer.  

Pfizer -The world's largest drugmaker in March entered into an agreement with Russian biopharmaceutical company Petrovax Pharm to manufacture Pfizer's innovative pneumococcal vaccine at the Petrovax Pharm facility in the Moscow region.

Orion - The Finnish drugmaker said in February it was in advanced acquisition talks with several unnamed Russian firms. It already has packaging projects with Russian producers.

Novartis - The Swiss drugmaker said in December it would invest $500 million in Russia over the next five years as part of a partnership focused on local manufacturing, R&D and public health development.

Ipsen - The French group said in October it was considering setting up production in Russia, including through a partnership with a local manufacturer.

Teva - Israel's Teva plans to invest up to $100 million in a drug production plant in Russia as it aims to more than triple Russian sales by 2015, a Russian executive told Reuters in July.

Novo Nordisk - The world's No.1 insulin maker said in April it would invest $80 million-$100 million to build its first production facility in Russia.

Sanofi-Aventis - A Russian government commission approved in May the company's acquisition of a controlling stake in a Russian insulin plant after the firm said in November it would take part in the government's Pharmpolis Project, aimed at making global firms produce medicines in Russia.

Nycomed -The privately owned Swiss drugmaker said in September it would invest €65-75 million ($86-$99 million) by 2014 to build a liquid sterile products and solid medicines production plant in Russia.

Johnson & Johnson - Struck an agreement with Russia's Pharmstandard to localise secondary packaging of its cancer drug Velcade in Pharmstandard's production plant.

Krka -The Slovenian drug firm said in January it planned to triple production capacity at its factory near Moscow, built in 2003, over the next three years in what will be one of its major investments in 2010.     

Gedeon Richter -The Hungarian drugmaker, which has a manufacturing and packaging plant near Moscow, in April raised its stake in Russian drug firm Protek to 5% from 4%.

Servier- The French Company built a tablet production factory in the Moscow region in 2007.

Stada -The German drugmaker became Russia's second-largest local producer after buying Nizhpharm in 2005 and Makiz-Pharma in 2007.

Fresenius Medical Care  -The world's largest kidney dialysis company, a unit of German healthcare conglomerate Fresenius, said in July it agreed to acquire a private operator of dialysis clinics in Russia's southern Krasnodar region.