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India's Ranbaxy Planning Expansion In U.S.



PLAINSBORO TOWNSHIP, N.J. (AP) — The head of Indian drugmaker Ranbaxy Laboratories Ltd. says he's charging ahead with plans to expand sales in the crucial U.S. market, despite extra oversight from American regulators over quality questions that have blocked imports of 31 of its medicines.

Ranbaxy, which almost exclusively makes generic pills, particularly is aiming to regularly be first on the U.S. market with just-approved generic drugs, CEO Arun Sawhney told The Associated Press in an interview Monday.

His goal is to nab the six-month "windfall" period when there's usually only one generic version on sale, for roughly 25 percent less than the price of the brand-name drug whose patent just ended. Companies can make tens of millions of dollars then, as Ranbaxy just did in selling the first generic rival to cholesterol blockbuster Lipitor, whose U.S. patent expired on Nov. 30.

After that half-year stretch, five or more generic versions of the brand-name drug hit the market and prices plunge 90 percent or more. That leaves razor-thin profit margins for all the competing generic companies, Sawhney said, joking about the difference between brand-name and generic drug companies.

"They make profits. We make drugs," said Sawhney, who became CEO in August 2011.

Discussing his plans during a visit to Ranbaxy's U.S. headquarters in central New Jersey, Sawhney noted his company has just launched its first brand-name drug, a malaria treatment called Synriam that is the first brand-name drug ever developed in India. That's because the hundreds of drugmakers based in India all make inexpensive generic medicines, as most of the country's 1.1 billion people cannot afford brand-name drugs that can cost thousands of dollars.

Sawhney is hoping to sell some brand-name drugs in the U.S. eventually and plans in about six months to start selling a recently approved generic version of acne drug Accutane.

"The US, as a total business, will remain the most important to us," he said.

Ranbaxy, the top-selling pharmaceutical company in India, is just the 12th-largest generic drugmaker in the U.S. by number of prescriptions filled. But in just a few years, its U.S. sales have risen from about a quarter to a third of its total revenue, which was about $2.1 billion last year.


In the first quarter of 2012, global sales jumped 55 percent to about $736 million. That's partly because of strong U.S. sales, particularly from new generic versions of Lipitor and a combo pill containing Lipitor and blood-pressure medicine Norvasc.

It's quite a turnaround after the black eye Ranbaxy suffered when the U.S. Food and Drug Administration in 2008 banned the import of 31 of its generic medicines — including generic versions of the popular antibiotic Cipro and the cholesterol pill Zocor. The FDA cited manufacturing quality concerns at twoplants, in Dewas and Paonta Sahib, India, and months later it accused Ranbaxy of lying about some test results on its drugs.

"It hit our bottom line big-time," Sawhney said. "It did slow down our growth plans in the U.S."

The ban took away about half Ranbaxy's sales in the U.S., but factories not affected were able to continue shipping other generic drugs here. However, a third factory involved in the probe, in Gloversville, N.Y., was shut down because it was too small to make a major investment there worthwhile, Sawhney said.

Sawhney, who had just joined Ranbaxy when the scandal broke, said there were no problems with the safety or effectiveness of the drugs from those factories, just "sloppiness in documentation."

After lengthy investigation and discussion with the FDA, the two parties reached an eleventh-hour agreement that requires improvement of various procedures and five years of intense oversight and review by an independent third-party, which is currently preparing an action plan. That's likely to be announced in August, but some changes have already been made.

The agreement came late on the night of Nov. 30, the day the patent expired for Pfizer Inc.'s cholesterol fighter Lipitor, which had long been the world's top-selling medicine, with peak sales of $13 billion. One of Ranbaxy's two factories in New Jersey was able to immediately start shipping generic Lipitor to pharmacies around the country, averting what would have been a huge missed opportunity.

Instead, from December through May Ranbaxy sold about $953 million worth of generic Lipitor, called atorvastatin, according to health data firm IMS Health. Several other generic drugmakers then began selling their own versions.

Along with its U.S. plans, Ranbaxy is working to expand generic sales in emerging markets. Those are heavily populated countries with a growing middle class and rising government spending on health care, from India and China to Brazil and Russia.

Down the road, Ranbaxy is hoping to be an innovator in the generic drug field by making tweaks rather than just chemical copies of the original drug. Those could include changing twice-a-day pills to daily ones or reformulating tablets, which are tough to swallow for many older patients, into liquids or tablets that dissolve on the tongue.


India's Ranbaxy Planning Expansion In U.S. | News | Manufacturing.net
 
Sensex regains momentum after 2-day loss; breaches 17,600
Last Updated: Tuesday, July 10, 2012, 16:58

Mumbai: The BSE benchmark Sensex breached the level of 17,600 on Tuesday after two sessions of weakness on emergence of selective buying by funds and retail investors amid expectations of encouraging quarterly results.

The 30-share barometer, which has lost nearly 147 points in the last two sessions, rose by 226.37 points, or 1.30 percent, to 17,618.35 with auto, capital goods, realty and banking sector stocks trading leading the recovery.

Similarly, the wide-based National Stock Exchange index Nifty was up 70.20 points, or 1.33 percent, at 5,345.35.

Brokers said fresh round of buying by funds and retail investors on expectations that leading companies may come out with encouraging first quarter earnings influenced the trading sentiment.

Besides, a higher note on Asian bourses also had a positive impact, they added

Sensex regains momentum after 2-day loss; breaches 17,600
 
India's unemployment rate stood at 3.8% last fiscal

CHANDIGARH: India's jobless rate stood at 3.8 per cent during the last fiscal, with Daman and Diu and Gujarat topping the list of least unemployed among states and UTs.

"Our unemployment level is much better than that of other countries like US, Spain and South Africa," Director General of Labour Bureau D S Kolmakar told reporters here today.

The latest report for the year 2011-12, released by Labour Bureau (under Union Ministry of Labour and Employment) here said Daman and Diu and Gujarat had unemployment rates of 0.6 per cent and 1 per cent respectively.

Chhattisgarh and Rajasthan stood at 3rd and 4th position in the list. As for Punjab, its fiscal position may be "worrisome" but it peformed better in providing employment than states like Haryana, Delhi and Maharashtra during last financial year. It was revealed that unemployment rate in Punjab stood at 1.8 per cent, the fifth lowest at all India level amongst states and UTs.

The unemployment rate at all India level stood at 3.8 per cent while in rural and urban areas it was 3.4 per cent and 5 per cent respectively, Kolmakar said.

Haryana and Union Territory of Chandigarh recorded unemployment rates of 3.2 per cent and 2.8 per cent respectively and secured 13th and 9th position respectively at all India level during the period.

The unemployment rate in Chhattisgarh and Rajasthan was 1.2 per cent and 1.7 per cent respectively, Kolmakar said adding Delhi and Maharashtra recorded an unemployment rate of 4.8 per cent and 2.8 per cent respectively during last fiscal.

Under this survey, a sample of 1.28 lakh households was taken from all the districts of the country. Of this 81,430 families were from rural sector and remaining 46,868 households from urban sector.

Kolmakar further informed that despite relatively low Labour Force Participation Rate (LFPR), the unemployment rate is significantly higher among females as compared to males.

At all India level, the female unemployment rate is estimated at 6.9 per cent whereas for males, the rate during last fiscal stood at 2.9 per cent.


India's unemployment rate stood at 3.8% last fiscal - The Economic Times

Jai Jai Garvi Gujarat
 
India's Ranbaxy Planning Expansion In U.S.



PLAINSBORO TOWNSHIP, N.J. (AP) — The head of Indian drugmaker Ranbaxy Laboratories Ltd. says he's charging ahead with plans to expand sales in the crucial U.S. market, despite extra oversight from American regulators over quality questions that have blocked imports of 31 of its medicines.

Ranbaxy, which almost exclusively makes generic pills, particularly is aiming to regularly be first on the U.S. market with just-approved generic drugs, CEO Arun Sawhney told The Associated Press in an interview Monday.

His goal is to nab the six-month "windfall" period when there's usually only one generic version on sale, for roughly 25 percent less than the price of the brand-name drug whose patent just ended. Companies can make tens of millions of dollars then, as Ranbaxy just did in selling the first generic rival to cholesterol blockbuster Lipitor, whose U.S. patent expired on Nov. 30.

After that half-year stretch, five or more generic versions of the brand-name drug hit the market and prices plunge 90 percent or more. That leaves razor-thin profit margins for all the competing generic companies, Sawhney said, joking about the difference between brand-name and generic drug companies.

"They make profits. We make drugs," said Sawhney, who became CEO in August 2011.

Discussing his plans during a visit to Ranbaxy's U.S. headquarters in central New Jersey, Sawhney noted his company has just launched its first brand-name drug, a malaria treatment called Synriam that is the first brand-name drug ever developed in India. That's because the hundreds of drugmakers based in India all make inexpensive generic medicines, as most of the country's 1.1 billion people cannot afford brand-name drugs that can cost thousands of dollars.

Sawhney is hoping to sell some brand-name drugs in the U.S. eventually and plans in about six months to start selling a recently approved generic version of acne drug Accutane.

"The US, as a total business, will remain the most important to us," he said.

Ranbaxy, the top-selling pharmaceutical company in India, is just the 12th-largest generic drugmaker in the U.S. by number of prescriptions filled. But in just a few years, its U.S. sales have risen from about a quarter to a third of its total revenue, which was about $2.1 billion last year.


In the first quarter of 2012, global sales jumped 55 percent to about $736 million. That's partly because of strong U.S. sales, particularly from new generic versions of Lipitor and a combo pill containing Lipitor and blood-pressure medicine Norvasc.

It's quite a turnaround after the black eye Ranbaxy suffered when the U.S. Food and Drug Administration in 2008 banned the import of 31 of its generic medicines — including generic versions of the popular antibiotic Cipro and the cholesterol pill Zocor. The FDA cited manufacturing quality concerns at twoplants, in Dewas and Paonta Sahib, India, and months later it accused Ranbaxy of lying about some test results on its drugs.

"It hit our bottom line big-time," Sawhney said. "It did slow down our growth plans in the U.S."

The ban took away about half Ranbaxy's sales in the U.S., but factories not affected were able to continue shipping other generic drugs here. However, a third factory involved in the probe, in Gloversville, N.Y., was shut down because it was too small to make a major investment there worthwhile, Sawhney said.

Sawhney, who had just joined Ranbaxy when the scandal broke, said there were no problems with the safety or effectiveness of the drugs from those factories, just "sloppiness in documentation."

After lengthy investigation and discussion with the FDA, the two parties reached an eleventh-hour agreement that requires improvement of various procedures and five years of intense oversight and review by an independent third-party, which is currently preparing an action plan. That's likely to be announced in August, but some changes have already been made.

The agreement came late on the night of Nov. 30, the day the patent expired for Pfizer Inc.'s cholesterol fighter Lipitor, which had long been the world's top-selling medicine, with peak sales of $13 billion. One of Ranbaxy's two factories in New Jersey was able to immediately start shipping generic Lipitor to pharmacies around the country, averting what would have been a huge missed opportunity.

Instead, from December through May Ranbaxy sold about $953 million worth of generic Lipitor, called atorvastatin, according to health data firm IMS Health. Several other generic drugmakers then began selling their own versions.

Along with its U.S. plans, Ranbaxy is working to expand generic sales in emerging markets. Those are heavily populated countries with a growing middle class and rising government spending on health care, from India and China to Brazil and Russia.

Down the road, Ranbaxy is hoping to be an innovator in the generic drug field by making tweaks rather than just chemical copies of the original drug. Those could include changing twice-a-day pills to daily ones or reformulating tablets, which are tough to swallow for many older patients, into liquids or tablets that dissolve on the tongue.


India's Ranbaxy Planning Expansion In U.S. | News | Manufacturing.net
Ist ranbaxy bought by japanese:undecided:
 

India expanding faster than China, shows HSBC survey?

what a survey! your link gave this number, copy-pasted:
Reuters polls forecast China grew 7.6 per cent in the second quarter versus the same three months a year ago.


(Reuters) - India's annual economic growth slumped in March quarter to a nine-year low of 5.3 percent.
also from Reuters:
Expert Views: March-quarter GDP at 5.3 pct | Reuters



can you show me a reliable source that India will growth faster than China at north of 7.6 percent? even you can win by give a good source of proof Indian can growth 7.0% in 2012. plz no old article older than 6 months.
 
India expanding faster than China, shows HSBC survey?

what a survey! your link gave this number, copy-pasted:
Reuters polls forecast China grew 7.6 per cent in the second quarter versus the same three months a year ago.


(Reuters) - India's annual economic growth slumped in March quarter to a nine-year low of 5.3 percent.
also from Reuters:
Expert Views: March-quarter GDP at 5.3 pct | Reuters



can you show me a reliable source that India will growth faster than China at north of 7.6 percent? even you can win by give a good source of proof Indian can growth 7.0% in 2012. plz no old article older than 6 months.

That article talks about manufacturing activity & export orders, not GDP. How would you know ?

"India and Russia saw decent growth in export orders in the April-June period this year even as other emerging markets' expansion eased due to weakness in the manufacturing sector, an HSBC survey has said.

The HSBC Emerging Markets Index (EMI), which is based on 21 PMI (Purchasing Managers' Index) surveys conducted across 16 emerging markets, witnessed a slight softening of emerging market activity growth as it slipped to 53 in the second quarter from 53.6 in the January-March period this year.

Of the largest emerging markets, India recorded the strongest rise in new orders, albeit at a weaker pace than in the first quarter. Rates of total new business growth in Brazil and China were only modest and marginal respectively. Russia meanwhile saw a solid expansion."



http://business-standard.com/india/...ging-markets-in-export-order-growth/178258/on


China Falls Behind India and Russia - 24/7 Wall St.
 
What happen to India's 3% growth.....Chinese and Pakistanis are waiting for it :D
 
Bihar to spend in 5 years what Gujarat did in 50 years


NEW DELHI: An ongoing exercise at the Planning Commission lays bare Bihar's ambitious growth agenda. Its total plan outlay for the 12th five-year plan (2012-17) at Rs 2.69 lakh crore is more than what a fast growing state like Gujarat has spent in the last 50 years. :woot:

Bihar's projected expenditure in the next five years will be the third highest among all states, next only to Andhra Pradesh and Maharashtra.

The increase in Bihar's plan expenditure is more than 350% during the 12th plan period with its GDP expected to grow at 13%. :woot:

The projection seems realistic as during the 11th five-year plan, Bihar's economy expanded an average 12% when all other states grew in single digit, including Gujarat (9.6%) and Maharashtra (8.6%).

Gujarat's total plan outlay for the 12th five-year plan has been projected at Rs 2,51,000 crore, double of what it had spent in the previous five years (Rs 1,28,500 crore). Between 1961-2011, Gujarat's plan expenditure was Rs 2,30,256 crore.

Currently, states are engaged with the Planning Commission for approval of their outlays for the 12th five-year plan. Most states have projected their expenditure and how they will raise these resources, an estimated borrowing and demand for central contribution.

Bihar has promised to fund a major part of its huge expenditure, Rs 1.60 lakh crore or 59% of the total plan outlay during 2012-17, through its own resources and 20% through borrowings and the remaining 21% or Rs 56,394 crore through central contribution.

This may not be an unrealistic target given the track record of Bihar's resource mobilization. During the 11th five-year plan (2007-12), Bihar funded 54% of its total plan expenditure through its own resources
:woot:while its borrowing was pegged at 21% and the central contribution was only Rs 18,822 crore or 25% of the total outlay. On other parameters too, Bihar has performed well. The state's fiscal deficit was 2.9% compared to the Centre's 5.7% in 2011-12.

Andhra Pradesh ranks top among states with highest plan expenditure projected at Rs 3.73 lakh crore for the plan period of 2012-17. Maharashtra is second with Rs 2.75 lakh crore. Rajasthan, the largest state in terms of area, has projected its plan expenditure at Rs 1.94 lakh crore just below Karnataka's Rs 1.95 lakh crore.

Bihar is banking on a rainbow revolution, aiming 7% increase in agricultural production to achieve its target growth while continuing its focus on infrastructure development and industrialization. A Delhi like Metro network for capital Patna and a brand new airport are some of the planned infrastructure development initiatives the state has in mind.

It has already secured committed central assistance of Rs 20,000 crore for the 12th plan period. The state's social sector spending will constitute at least 35% of the total plan outlay in education, health, drinking water supply and sanitation.

Bihar to spend in 5 years what Gujarat did in 50 years - Times Of India

What happen to India's 3% growth.....Chinese and Pakistanis are waiting for it :D

They have to wait for 3 more decades :D after India's demographic dividend is over.
 
India International Bank plans 5 branches in Malaysia

KUALA LUMPUR: India International Bank Malaysia Bhd (IIBM) aims to open five commercial banking branches in its first year of operations in Malaysia.

The bank, which is the first India based bank to clinch a licence from the government, is looking to expand to 15 branches in the next three years
 
Reliance Power ties up $1.1 billion Chinese loans for Sasan project
NEW DELHI: Reliance Power has tied up loans of $ 1.1 billion (over Rs 6,000 crore) from three Chinese lenders for its upcoming 3,960 MW Sasan ultra mega power project in Madhya Pradesh.

The State Council of Government of China has granted the final approval for Chinese banks to finance the Sasan project. Approvals have also been granted by Ministries of Finance, Foreign Affairs and Commerce, sources said.

When contacted, a Reliance Power spokesperson confirmed that the commitments from Chinese Banks for long-term loans of $ 1.1 billion have been received.

"We are happy to have the participation of large Chinese Banks and Sinosure as stakeholders in our prestigious Sasan Ultra Mega Power Project.

"The transaction is a testimony of their confidence in Reliance Power and in the Indian power sector. Project economics will be improved by this financing which is at competitive terms," the spokesperson said.

These loans would be provided by Bank of China, China Development Bank and The Export Import Bank of China, along with Standard Chartered Bank. The insurance cover would be from China Export & Credit Insurance Corp, sources said.

They noted that it would be the largest financing by Chinese Banks to an Indian project across all sectors.

The long-term loans have a duration of over 13 years. Sources said the Chinese banks' financing is to support import of Boiler-Turbine Generator (BTG) from Shanghai Electric Group Company Ltd.

According to them, this Chinese financing is on project finance basis and the banks are relying solely on cash-flow of the project for servicing their debt.

The Sasan project, being set up at a cost of about $ 4 billion, would start power generation in December, 2012.

The Chinese banks had signed an MoU with Reliance Power to finance $ 12 billion for its projects in October, 2010.

Work for Indo-Bhutan hydropower projects of 3500MW to begin within next one year
SILIGURI: Works for new hydropower projects of total 3500 MW capacity under Indo-Bhutan joint initiative will begin within next one year. While giving significant financial benefit to Bhutan, the projects are expected to brighten India's power profile to a great extent.

Undoubtedly the most important one in this list of projects is Sankosh. Though downsized recently by the Empowered Joint Group (EJG) of high government officials of Bhutan and India to a 2560 MW from its earlier planned capacity of 4050MW, this is still the single largest project in Bhutan.

Though initially planned to be a joint venture with its 51% owned by Indian PSUs and rest with Bhutan's Government owned hydropower agency Druk Green Power Corporation, the INR 110 Billion project has been remodeled to be established under a different inter Governmental model in which India will provide entire funding.

However, agreements pertaining many facets of the project including tax and duty exemptions, funding process, Indian PSUs participation etc are likely to get signed by end July.

Beside Sankosh, works for four other hydropower projects in the list - namely Kholongchhu(600MW), Chamkharchhu(770MW), Bunakha(180MW) and Wangchhu(570MW) are expected to start by this year.

Bhutan is committed to develop 10,000MW new power generation capacity dedicated for India by 2020. And, "India is also keen on utilizing Bhutan's untapped hydropower potential," said India's Union power Minister Mr. S K Shinde told ET earlier.
 
What happen to India's 3% growth.....Chinese and Pakistanis are waiting for it :D


developing countries start from very low GDP level grows at 3% is piteous. there are already some one gives middle 5% estimate. I hope the world economic especially EU and China will keep up the growth. otherwise is not fun. down under 5% will be painful for most people.

India government deficit was almost 6% last year. and plus another 5% trade deficit. if economic slows down will cause more government deficit. Indian has run out money to QE3 like USA or China. your tools to jump start economic growth is limited. Rupee evaluation spells inflation. slow growth plus inflation is one of the most headache trouble for economists.

India FY12 fiscal deficit at 5.7% of GDP - Economy and Politics - livemint.com

India's 2011-12 fiscal deficit widens to 5.9% of GDP - Reuters -


for me, Rupee GDP means very little to me. I count GDPs in USD and compare with other countries. India growth in USD is already under water. India import oil, machines, electronics are mostly in USD/Euro, not Rupees.
 

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