Chinese pharmaceutical giant Shanghai Pharmaceuticals Holding Co. Ltd is keen on importing active pharmaceutical ingredients (API) from India, and is also planning to invest in the Indian market in an effort to expand its footprint in the generic drugs market. The plan comes amid efforts by New Delhi and Beijing to normalise their bilateral relationship after four years of tensions at the Line of Actual Control (LAC).
Shanghai Pharmaceuticals is China’s largest drug importer and second largest pharmaceutical distributor. With a total revenue of $37 billion, Shanghai Pharmaceuticals manufactures drugs for cancer, diabetes and cardiovascular diseases, among others.
“We want to import APIs from India. In a supply chain, globalisation is not only for one country … I believe most of the (pharma) companies in India produce very good quality APIs. In India, more and more APIs are getting FDA approval, so we are now thinking of importing APIs from India,” Li Dongming, Vice-President, Shanghai Pharmaceuticals Holding Co. Ltd, told ABP Live.
He also said, “We want APIs from India because of its quality. We plan to place the orders soon. India is a developing market. If we have the right kind of opportunity we will invest in India.”
Li added that the company is in talks with Indian pharma majors such as Sun Pharma, Lupin, Aurobindo Pharma and others.
‘A Strong Signal’
During the Covid-19 Delta outbreak, Shanghai Pharmaceuticals exported huge quantities of APIs to India.
“The cooperation between the two countries in this sector is very high. Despite the tensions in the last four years, we have been able to overcome the difficulties. But now, after both the leaders met, a strong signal has gone to the industry on both sides,” said Li.
He also said, “India has a strong manufacturing presence so we are competitors. China is ahead in some sectors, and in others India has a strong base… The APIs that China provides to India help them to produce high quality but affordable drugs in India.”
The company is also looking at cooperation in manufacturing traditional medicines with India, according to Yan Jun, General Manager, Shanghai Pharmaceuticals.