Natco Pharma to invest Rs 100 crore in API facility in TN
Chennai: Nacto pharma is planning to invest in its existing facility and expand its Active Pharmaceutical Ingredient (API) and intermediates manufacturing facility in Tamil Nadu, according to a recent report in Business Standard.
In addition to its existing investment of Rs. 86.82 crore, the company would be investing around Rs 100 crore in the facility to manufacture 16 campaign products at a time, out of 42 API products and R&D activity, with a production capacity of 66.32 tonnes per annum from existing production capacity of 46.267 tonnes per annum.
According to an environmental impact assessment report submitted in connection with the expansion plan, the expansion is in order to meet the growing market demand for pharmaceutical products in the country reports Business Standard.
The investment will also increase the jobs at the facility to 350 direct jobs and 100 indirect jobs. The proposed products will be manufactured on the basis of proven technologies from in-house R&D and private consultants for the cost-effective and environmentally friendly practices, it added.
The company has two API manufacturing facilities, one in Mekaguda village, Rangareddy District, Telangana and the other in Manali, Tamil Nadu. The Manali plant is manufacturing various cytotoxic APIs and biotechnology-based products.
"The API R&D expansion will help the company broaden its API portfolio in the coming years and with manufacturing capacities at both locations (Mekaguda and Manali) set to double in the next two years, Natco is looking at sustainable growth in third-party API business," the company stated.
API exports are focused in the European Union, Canada, Latin America and Southeast Asian markets. The company said that Natco's selection process of new products is aligned with Global API trends and significant business growth is possible once operations are scaled up fully over the next two years.
As on March 31, 2017, the company has a portfolio of 37 US Drug Master Files (DMFs) with over 10 products under development, added the company.