Lonza forges joint venture with South Africa for HIV drugs
pharmafile | February 13, 2012 | News story | Manufacturing and Production |Â Â HIV, Lonza, South AfricaÂ
Swiss contract manufacturer Lonza has signed a joint venture agreement with the government of South Africa that could significantly reduce the country’s reliance on imported HIV medicines.
Lonza confirmed earlier this month that it was in discussion regarding the establishment of a local joint venture – called Ketlaphela – for establishing a local manufacturing facility for active pharmaceutical ingredients (APIs) used in antiretroviral medicines.
While no official statement has been released by the company, local news reports indicate that a joint venture has now been agreed and a manufacturing facility will be constructed starting in 2013, with an investment of 1.6 billion rand (approximately $210m).
Lonza will partner with state-owned drugmaker Pelchem on the project, contributing 500 million and 100m rand, respectively. The remaining 1 billion rand will be put up by government agencies.
Around 3,800 jobs will be created while the facility in being built, with more than 2,500 staff employed there after the plant is up and running in 2016, according to South Africa’s Minister of Science and Technology Naledi Pandor.
Once operational the plant will supply API for formulation by South African pharmaceutical manufacturers, according to the country’s government. There are four companies equipped to meet those formulation needs at present, it said.
South Africa is the biggest import of antiretroviral medicines in the world, with an estimated 1.3 million people receiving treatment for HIV at present and more than 5 million infected with the virus. It is believed that in 2009, an estimated 310,000 South Africans died of AIDS.
As the country is so reliant on imported antiretroviral APIs – often sourced from Indian manufacturers with fluctuating prices – it can be difficult to plan funding for treatment programmes. Maintaining domestic production will not only allow South Africa to keep the price of HIV drugs stable, but also expand its coverage of citizens infected with the virus.
Phil Taylor
Related Content
Long-acting therapies set to reshape HIV treatment market
The HIV treatment market is increasingly being shaped by therapies designed to reduce medication burden …
Lonza and Engitix partner to develop next-generation antibody-drug conjugates
Lonza and Engitix have entered into a licensing agreement to support the development of antibody-drug …
European Commission approves HIV prevention injection
The European Commission (EC) has granted marketing authorisation for Gilead Science’s Yeytuo (lenacapavir), the first …
