Fertin Pharma AS, part of the Danish pharma-to-confectionary Bagger-Sorensen Group, is entering India by establishing a greenfield manufacturing plant in Goa. A world leader in gum-based anti-smoking products and candies, Fertin will open its new India plant - its first manufacturing facility outside Europe - for nicotine chewing gum in November to cater to its clients in the entire Asian and other emerging markets.
Nicotine chewing gum helps smokers and tobacco users quit the habit. India being a country with some 330 million tobacco users and most affected by tobacco induced health issues including cancer deaths, Fertin see this market as most important in its future growth strategy.
Fertin, as a custom manufacturer, will partner with top pharma marketing companies in India and other emerging markets. The company is already a supply partner to top pharma companies including GlaxoSmithKline, Novartis and Perrigo in its existing markets, especially the US and Europe. “There are quite a few big pharma players, who have shown interest in partnering with us for India and these deals will be formalised before the local plant goes on stream,” said S Ravi Kumar, CEO and MD, Fertin India Ltd.
The Danish company, which established a research and development centre in India earlier, has been doing product development for its global customers at its Mumbai centre since 2011. The product development capabilities in the Mumbai centre will be expanded for Indian customers (partners who source finished products from Fertin and selling under their respective brand names).
The nicotine chewing gums are prescription products and the two active players in this segment in the local markets include drug maker Cipla and cigarette and consumer staple maker ITC Ltd. The current market for medicated chewing gum is estimated at Rs 75 crore and Cipla has about 80 per cent market share. Fertin’s new facility in Goa, which was set up with an initial investment of Rs 30 crore, will have a manufacturing capacity of 300 tonnes per year. The fully automated plant employs some 35 people at present and it will be almost doubled in the next one year, Ravi Kumar said.
The company’s plant in Denmark located at Vejle has a production capacity of 5000 tonnes a year and currently caters to mainly US and European markets. The tobacco cessation products from the company’s Goa plant are expected to be rolled into the Indian market by early next year.
source:businessworld
Nicotine chewing gum helps smokers and tobacco users quit the habit. India being a country with some 330 million tobacco users and most affected by tobacco induced health issues including cancer deaths, Fertin see this market as most important in its future growth strategy.
Fertin, as a custom manufacturer, will partner with top pharma marketing companies in India and other emerging markets. The company is already a supply partner to top pharma companies including GlaxoSmithKline, Novartis and Perrigo in its existing markets, especially the US and Europe. “There are quite a few big pharma players, who have shown interest in partnering with us for India and these deals will be formalised before the local plant goes on stream,” said S Ravi Kumar, CEO and MD, Fertin India Ltd.
The Danish company, which established a research and development centre in India earlier, has been doing product development for its global customers at its Mumbai centre since 2011. The product development capabilities in the Mumbai centre will be expanded for Indian customers (partners who source finished products from Fertin and selling under their respective brand names).
The nicotine chewing gums are prescription products and the two active players in this segment in the local markets include drug maker Cipla and cigarette and consumer staple maker ITC Ltd. The current market for medicated chewing gum is estimated at Rs 75 crore and Cipla has about 80 per cent market share. Fertin’s new facility in Goa, which was set up with an initial investment of Rs 30 crore, will have a manufacturing capacity of 300 tonnes per year. The fully automated plant employs some 35 people at present and it will be almost doubled in the next one year, Ravi Kumar said.
The company’s plant in Denmark located at Vejle has a production capacity of 5000 tonnes a year and currently caters to mainly US and European markets. The tobacco cessation products from the company’s Goa plant are expected to be rolled into the Indian market by early next year.
source:businessworld