THE Philippine Economic Zone Authority (PEZA) said more Indian drugmakers establishing operations in economic zones hold the potential for addressing the shortage of essential drugs and medical devices.
In a statement, PEZA Director General Tereso O. Panga said that the Philippines’ increasing population and increased demand for medicine and healthcare services are “compelling reasons to localize production of drugs and medical devices.”
“It makes sense for Indian and multinational corporations (that manufacture drugs) to set up facilities in the Philippines by way of import substitution industrialization,” Mr. Panga added.
PEZA has said that it would sign a memorandum of agreement with the Food and Drug Administration (FDA) on the development of pharma-focused ecozones.
It is set to develop the Victoria Industrial Park in Victoria, Tarlac as a pharmaceutical zone, which will also host an FDA laboratory.
Earlier, President Ferdinand R. Marcos, Jr. proposed the creation of pharmaceutical ecozones to encourage more local production of essential drugs with the aim of making them more affordable.
Mr. Panga said that five Indian pharmaceutical companies have expressed interest in the fiscal incentives available for operations like pharma packaging, small molecules formulation, logistics, and healthcare services within PEZA zones.
“Many of these pharma companies are already engaged in importing and distributing APIs (active pharmaceutical ingredients) and patented biosimilars, biologics, and other generic ethical as well as over-the-counter medicines,” he added.
PEZA said it also conducted one-on-one business meetings with 27 Indian technology companies and nine pharma companies, with the aim of attracting more locators within its ecozones. — Adrian H. Halili
