Sun to cut jobs in Irish facility closure; Lilly announce further investment in the country
pharmafile | April 6, 2016 | News story | Manufacturing and Production, Research and Development | Eli Lilly, Ireland, Kinsale, Sun Pharma, cashel, investment, lilly
There was mixed news for pharmaceutical manufacturing in Ireland as Sun Pharma announced its decision to close its facility based in Cashel, Co. Tipperary, while Eli Lilly announced plans for further investment in its continuous manufacturing site in Kinsale, Co. Cork.
Sun Pharmaceuticals (BOM:524715) is set to cut more than 100 jobs at its plant as it cuts back its manufacturing network following its purchase of Ranbaxy Pharmaceuticals. Originally a Ranbaxy facility, Sun’s decision was made as part of its “ongoing operations network review”, according to the Irish Times.
In a statement to the paper, Sun comments: “Sun Pharma has decided to cease operations at its Cashel unit in Ireland. We continuously analyse our manufacturing capacity requirement to keep it in line with customer demand and avoid over-capacity…. We expect to cease operations at Cashel by end of current calendar year.”
Trade union Unite, which represents 70 workers at the facility, called it “a significant blow”. Regional officer Tony Kelly says: “This news will come as a blow not only to the employees but also to the Cashel area and to the South-East as a whole. From next week, Unite will be engaging with management to secure the best terms for our members, who have given long and dedicated service to the company.”
In better news for the South of the country, Eli Lilly’s further investment will really benefit the region according to Minister for jobs, enterprise and innovation, Richard Bruton. He reacts: “Not only are the direct jobs of huge importance to a town like Kinsale, but the heavy investments made by major pharma companies like this create massive knock-on impact on the local economy, in the form of extra employment in supply and service companies.
The $40 million investment will apply continuous manufacturing technology to carry out the development and commercialisation of a number of Lilly’s small molecule pipeline products that are current undergoing late-stage clinical trials. The project implementation team will seek to establish a fully operation facility by early 2017, which will see the Kinsale site become the centre of excellence for continuous manufacturing for active pharmaceutical ingredients (API) for Lilly worldwide.
Dr John C. Lechleiter, chairman and CEO at Eli Lilly, says: “Since our Kinsale site was established 35 years ago, it has contributed significantly to the success of our company and has developed a strong reputation for delivery. This investment follows a major biotech investment program at Kinsale over the past eight years, which so far has resulted in an investment of €650 million and the recruitment of 350 additional employees at the site.”
Sean Murray
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