Citi Pharma Limited (PSX: CPHL) has entered into a strategic partnership with Mersi Farma, a leading Indonesia-based pharmaceutical company, to advance Active Pharmaceutical Ingredient (API) manufacturing and expand the nutraceutical market in Indonesia.
The collaboration, formalized through a Memorandum of Understanding (MoU), marks a significant step toward enhancing Indonesia’s healthcare infrastructure and reducing its reliance on imported APIs.
Key Highlights of the Partnership
- Establishing Advanced API Manufacturing Facilities
The partnership will focus on developing state-of-the-art API manufacturing plants in Indonesia, including:
Paracetamol API Plant: With an annual production capacity of 10,000 metric tons, this facility will cater to the growing demand for paracetamol in the region.
Amoxicillin API Plant: A high-capacity plant with an annual production capacity of 1,800 metric tons, designed to meet stringent Pharmaceutical Inspection Co-operation Scheme (PIC/S) compliance standards.
These will be the first large-scale API manufacturing facilities in Indonesia, significantly reducing the country’s dependence on imported APIs while ensuring high-quality production processes.
- Joint Investment and Expertise Deployment
Citi Pharma Limited will provide substantial capital investment and cutting-edge technology to establish world-class production capabilities.
Mersi Farma will co-invest and leverage its extensive operational network in Indonesia to oversee plant operations and optimize API distribution across the region. - Expanding the Nutraceutical Market in Indonesia
Citi Pharma will introduce its premium nutraceutical product range, addressing the growing demand for health and wellness solutions in Indonesia. Mersi Farma will manage the marketing, sales, and distribution of these products through its robust local distribution network.
Strategic Implications of the Partnership
This collaboration is expected to:
Drive innovation in the pharmaceutical and nutraceutical sectors.
Enhance healthcare accessibility by localizing API production and ensuring high-quality, affordable products.
Promote economic sustainability by reducing Indonesia’s reliance on imported APIs and fostering local industrial growth.
The establishment of the first bulk API manufacturing plants in Indonesia represents a pivotal shift toward self-sufficiency and technological advancement in the country’s healthcare landscape.
Looking Ahead
Citi Pharma Limited and Mersi Farma are committed to making this partnership a model of excellence in pharmaceutical production and distribution. By combining Citi Pharma’s expertise in manufacturing with Mersi Farma’s operational strength in Indonesia, the collaboration aims to set new benchmarks in the region’s healthcare and wellness sectors.
