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Europe’s latest manufacturer for some important antibiotics is shutting down its largest domestic factory and some production is transferring to China, pushing Brussels’s efforts to reduce drug dependence on Asia.
Los Making Jelia Pharmaceuticals says it can only survive against Chinese competition by transferring to its plant only to its plant.
Half of Jelia’s active pharmaceutical components (API) in recent times EU list of critical drugs And a list of the necessary drugs of the World Health Organization.
The Danish company told staff on Tuesday that it would shut down its Copenhagen plant, which caused the job damage. Now, it will retain a more expensive European operation in Budapest.
Its chief executive Michael Kochar said that if the government-funded health system is not ready to pay more for generic drugs, more companies-based agencies based EU The factories will be removed.
He told the Financial Times in an interview, “We are discussing a lot about rebuilding. I think it is important to make sure what we have in Europe in Europe.”
The ingredients that produce the ingredients of jelia include vancomycin hydrochloride, which is necessary to produce antibiotics, which can treat serious infections such as sepsis, which are resistant against other drugs.
About 80 per API used in the EU is already from China. Strred health systems are reluctant to raise drug prices, Cocuser suggested that the EU was the only way to ensure some control over these important elements.
“Otherwise, only 5 percent of the APIs will not come from China. Soon it will be close to 100 percent,” he said.
Kochar emphasized that the western demand for Vancomycin hydrochloride could still be met from Budapest if the market situation was improved.
The European Commission unveiled proposals that could be included in a critical drug law to try to solve the exposed dependers by the Covid -1 epidemic, while countries briefly launched equipment like drugs, conservative clothing and ventilators.
The target of these proposals is to increase the EU production of more than 200 drugs from antibiotics such as penicillin and erythromycin, up to painkillers such as lidocaine and morphine.
The steps discussed include allowing countries to join countries to buy bulk and in favor of EU-based products in the collection processes. However, Kochar said that the policies are very bold and take a long time to implement.
“Spending, you try to transfer these expenditures to your customer and then your customers decided to be too high and increase the shares from China,” he said. “We are seeking promise to support the ongoing operations.”
Research-intensive drug companies have also warned that low prices paid by the European health system are trying to discover new drugs to the United States and China.
CEOs of Novartis and Sanophi wrote to the Commission last month Call for high pricesThe They also mentioned that US tariffs are promoting companies in North America to invest. However, Jelia said that there was no plan to do it.
Danish Pharmaceutical Power House Novo Nordisk -owned Jailia sells more than 5 businesses in 5 countries. Somewhere it will take a decade to transfer the production slowly from its Copenhagen factory.
Kochar said that the EU should be paid more on its “life -saving” products that treat meningitis and other fatal conditions. “Except for our product portfolio we have to face a huge challenge. Covid will be a small problem in comparison,” he said.
