Renata to unveil child nutrient variant by yr-end
Sunday, 6 June 2010
FE Report
Renata Limited- a leading pharmaceuticals firm is planning to unveil Pushtikona- a 'unique' child nutrient variant in the local market by the end of this year; the company officials said Thursday.
The local medicine manufacturer, which is a market leader in animal health solution, has recently embarked on a strategy of product diversification and venturing into child nutrition as the company is looking to find its niche in rather untapped areas.
"Our new product will be a possible cure to Paediatric Anaemia and micronutrient malnutrition among the infants," - Chairman of Renata Limited S H Kabir said.
"The product would be developed with assistance from Global Alliance for Infant Nutrition (GAIN) and would arrive in the local market within six months", he added.
This would be a significant diversion from a company which traditionally looks towards more conventional pharmaceutical and animal health products for its market growth.
Malnutrition among the children is a relatively old phenomenon in Bangladesh. And even though, there is apparently huge potential for child nutrients in the local market, very few local pharmaceuticals have come to tap it over the years.
The Renata Chairman said that his company has shifted its focus in this area mainly because the market prospect for new variants within the conventional pharmaceutical products looks grim for the coming years.
"The next five years or so are likely to be very challenging as the growth is unlikely to stem from new blockbusters", Mr Kabir said in the company's annual review for 2009.
"Our company's net profit and sales has gone up by 39.3 percent and 26.2 percent in 2009, but very few new products were launched in the meantime".
Renata Limited has posted a net profit of Tk. 603.5 million in 2009, up from Tk. 433.1 million in the previous year. The company's annual turnover at the same time has reached Tk 3.90 billion, which was Tk. 3.08 billion in 2008.
The company is now well placed at fifth position in the local pharmaceuticals market, up from sixth last year- which is driven by 27 percent growth in its market in 2009.
It has also maintained its leading position in animal health solutions- where it has been ranked as number one for 13 consecutive years. The company's sales in animal health products have soared by 28 percent last year.
The Renata officials however have attributed this growth to existing portfolio of products as well as improvements in manufacturing and sales force productivity. "The growth last year was primarily the result of working hard and smart in contrary to previous years when new products were the main drivers of growth", Mr Kabir said.
"This is the part of a global phenomena in pharmaceuticals where unleashing new items hardly is having ay impact in growth engineering" he added.
Nevertheless, the Renata top boss emphasized on expanding the company's international business and venturing into the development of bioequivalent products to maintain the competitive edge and business growth.
"To make a mark in the international arena, there is a need for overhauling our approach", Mr Kabir said, "This must be recognized that it is better to work with strong partners with a few countries than with weak partners in many countries".
Emphasizing the need for bioequivalent products in remunerative markets, the Renata Chairman also informed that his company shall introduce at least five oral dosage products that are bioequivalent by the year end.
As of the first quarter of the current year, Renata exports its products to the UK, Afghanistan, Cambodia, Hong Kong, Philippines, Jordan, Sri Lanka, Vietnam, Myanmar, Kenya and Guyana, with registration ongoing in 23 other countries.
Officials said that over the next four years, the company would be looking to expand its market in the Middle East, the European Union and the United States.
Renata Limited- a leading pharmaceuticals firm is planning to unveil Pushtikona- a 'unique' child nutrient variant in the local market by the end of this year; the company officials said Thursday.
The local medicine manufacturer, which is a market leader in animal health solution, has recently embarked on a strategy of product diversification and venturing into child nutrition as the company is looking to find its niche in rather untapped areas.
"Our new product will be a possible cure to Paediatric Anaemia and micronutrient malnutrition among the infants," - Chairman of Renata Limited S H Kabir said.
"The product would be developed with assistance from Global Alliance for Infant Nutrition (GAIN) and would arrive in the local market within six months", he added.
This would be a significant diversion from a company which traditionally looks towards more conventional pharmaceutical and animal health products for its market growth.
Malnutrition among the children is a relatively old phenomenon in Bangladesh. And even though, there is apparently huge potential for child nutrients in the local market, very few local pharmaceuticals have come to tap it over the years.
The Renata Chairman said that his company has shifted its focus in this area mainly because the market prospect for new variants within the conventional pharmaceutical products looks grim for the coming years.
"The next five years or so are likely to be very challenging as the growth is unlikely to stem from new blockbusters", Mr Kabir said in the company's annual review for 2009.
"Our company's net profit and sales has gone up by 39.3 percent and 26.2 percent in 2009, but very few new products were launched in the meantime".
Renata Limited has posted a net profit of Tk. 603.5 million in 2009, up from Tk. 433.1 million in the previous year. The company's annual turnover at the same time has reached Tk 3.90 billion, which was Tk. 3.08 billion in 2008.
The company is now well placed at fifth position in the local pharmaceuticals market, up from sixth last year- which is driven by 27 percent growth in its market in 2009.
It has also maintained its leading position in animal health solutions- where it has been ranked as number one for 13 consecutive years. The company's sales in animal health products have soared by 28 percent last year.
The Renata officials however have attributed this growth to existing portfolio of products as well as improvements in manufacturing and sales force productivity. "The growth last year was primarily the result of working hard and smart in contrary to previous years when new products were the main drivers of growth", Mr Kabir said.
"This is the part of a global phenomena in pharmaceuticals where unleashing new items hardly is having ay impact in growth engineering" he added.
Nevertheless, the Renata top boss emphasized on expanding the company's international business and venturing into the development of bioequivalent products to maintain the competitive edge and business growth.
"To make a mark in the international arena, there is a need for overhauling our approach", Mr Kabir said, "This must be recognized that it is better to work with strong partners with a few countries than with weak partners in many countries".
Emphasizing the need for bioequivalent products in remunerative markets, the Renata Chairman also informed that his company shall introduce at least five oral dosage products that are bioequivalent by the year end.
As of the first quarter of the current year, Renata exports its products to the UK, Afghanistan, Cambodia, Hong Kong, Philippines, Jordan, Sri Lanka, Vietnam, Myanmar, Kenya and Guyana, with registration ongoing in 23 other countries.
Officials said that over the next four years, the company would be looking to expand its market in the Middle East, the European Union and the United States.