New Delhi, Aug 16 (PTI) Medicine manufacturer Ipca Laboratories is in the process of getting environmental clearance for a new production plant in Dewas, Madhya Pradesh, according to its 2019-20 annual report.
Sharing information with the firm"s shareholders, the drug maker said the company has already acquired land to the job.

"The organization is in the process of setting up a brand new API (active pharmaceutical ingredients) manufacturing unit in Dewas (MP) having an initial capital cost of about Rs 250 crore," the Mumbai-based drug manufacturer said adding it is now in process of obtaining the environmental approvals.

Currently, Ipca Laboratories generates over 80 APIs in 12 production facilities, accounting for nearly 25 per of its turnover.

The company is also a major exporter of all APIs to over 70 nations.

During 2019-20, the company"s API and intermediate business recorded revenue of Rs 1,173.13 crore as against Rs 884.56 crore in the previous fiscal year, thus registering an increase of 33 per cent.

Around, 79 percent of the firm"s API/intermediate business is now generated from export markets.

The company also has substantial existence in branded formulations in India using a portfolio of about 350 merchandise.

The drug company has presence across various foreign markets too including the US, with a variety of generic products.

For 2019-20, overall income of the business on a combined basis stood at Rs 4,715.71 crore, up 23 percent from Rs 3,830.86 crore in the last financial year.

According to the business outlook, the business stated that domestic pharmaceutical firms were focusing on global generic and API organization, R&amp;D actions, contract research and production alliances.

India is also quickly emerging as a favorite manufacturing location for pharma products, hence the industry is poised for an accelerated increase in the coming years, it mentioned.

"But, poor public healthcare financing and infrastructure, reduce per capita consumption of drugs in developing and under-developed countries including India, currency changes, regulatory issues, government mandated price controls, inflation and consequent all round increase in input prices are several causes of concern," it noted.

On regulatory issues, the business said the US Food and Drug Adminisration (USFDA) recently inspected the company"s formulations manufacturing unit situated at Piparia (Silvassa).

"This review resulted to issue of 3 observations in Form 483 from USFDA. Your organization has filed comprehensive response to such observations to the USFDA. The company is awaiting re-inspection by USFDA of its other two manufacturing facilities which are under export alert," it noted. PTI MSS MKJ