Bionovis To Start Local Biosimilar Production
BMI View: The Brazilian government has pledged to boost its local pharmaceutical industry to enable cost-effective healthcare spending and to generate economic growth. We highlight that there will be significant opportunities in Brazil's biopharmaceutical market for both domestic and multinational companies. As the government is a major player in the market, it is essential for drugmakers to develop close relationships with local authorities to realise their strategic ambitions.
The Brazilian Government has signed an agreement with Companhia Brasileira de Biotecnologia Farmaceutica (Bionovis) to construct a new site in the state of Rio de Janeiro, near the Oswaldo Cruz Foundation (Fiocruz). Bionovis, a joint venture formed between four major local players, Hypermarcas, Ache, EMS and Uniao Quimica in 2012, will invest BRL550mn (USD249mn) and create 150 direct jobs within three years. Brazil's National Economic Development Bank (BNDES) will provide a credit line to finance the project and the state government will provide tax incentives for Bionovis to settle in Rio.
Bionovis' new unit will include a research and development centre, a manufacturing plant and a distribution centre. 'It remains challenging for the country to produce innovative biopharmaceutical products. This partnership will promote innovation and production in the biopharmaceutical sector,' explained the President of Fiocruz, Paulo Gadelha. The Secretary for Economic Development, Julio Bueno, said 'the biotechnology industry is very attractive. The Bionovis project is the first in Brazil's biosimilar sector. It will diversify the economy of the city.'
|The Pharmaceutical Market Outlook In Brazil|