Next step to sea: two way choice between Ireland and Chinese pharmaceutical companies?

category:Finance
 Next step to sea: two way choice between Ireland and Chinese pharmaceutical companies?


325 million + investment

Not long ago, 21st century economic report saw the base being built by Yaoming biology in dundock, Ireland. Its main body has been formed and it has a large scale. Compared with other factories in Ireland, its volume is very huge, more like a factory in China.

There was nothing here at the beginning of this year. Now it has become a climate. The new plant is still in the construction stage, and is preparing to erect the steel structure of the plant and build the periphery of the plant. At present, our main equipment hasnt been delivered yet. It will be delivered between the end of this year and the beginning of next year. After the equipment is upgraded, it is expected to be put into use next summer. At present, we have a team of about 70 people in operation. Brendan McGrath, head and vice president of domock base in Ireland, Yaoming biology, introduced to 21st century economic report during the visit that the new plant will officially start operation in 2021, with an estimated capacity of 54000 liters, an area of 12000 square meters, as well as several primary bioreactors of 2000 liters and 4000 liters.

In the specific work, Brendan said, first you need to apply to the local government for an investment plan license, which usually takes 12 weeks. Second, we need to prepare for infrastructure construction, such as water, electricity and gas. If we cooperate with IDA, we can save about 6-12 months. As for the role played by IDA, IDA does investment assistance work, for example, in the early stage, they will work with us to select and determine the site and prepare the early stage work. This can be seen as a time competitive advantage, and if you buy a piece of land to build a factory without the relevant government plans and permission, it may take a year to get permission.

In the past 50 years, the pharmaceutical industry has formed a very complete industrial chain in Ireland, Zhang zhewei, China director of Irish Investment Development Agency, said in an interview with 21st century economic report From site selection, plant construction, equipment supply, talent recruitment, etc., the industrial chain is very mature, it is easy to find the right people to work..

Paul Keogh, general manager of Takeda Ireland Limited, also a company from Asia, said during a visit to Takeda pharmaceuticals factory in Ireland by 21st century economic report, the possible difficulty in building a factory in Ireland is to analyze the specific location to ensure that the company can have the best professional resources, economic environment and policies. In addition, we need to cooperate and exchange with the Japanese headquarters in terms of work, and there are also places where we need to break in in terms of culture.

Now it seems that Yaoming biology will make greater investment in Ireland. Next to the current 26 hectare Dundalk biopharmaceutical base, another 15520 square meter vaccine factory will be built.

At the same time, Ireland is the production base of many international vaccine giants, with strong industrial complementary effects, such as the production of HPV tetravalent and ninvalent vaccines by MSD. On October 29, MSD announced its financial performance in the third quarter of 2019. The short supply of vaccines in the Chinese market made it the best performing country in the international market, with sales volume of 898 million US dollars, an increase of 84% year on year, mainly due to the contribution of HPV vaccines and tumor drugs.

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What kind of Chinese enterprises are suitable for investment in Ireland?

Wasdell, a pharmaceutical packaging company based in the UK next to Sinopharm, moved its factory to Ireland because of the impact of brexit. By building a plant in Ireland, we can continue to conduct EU release tests on drugs produced, packaged and distributed, regardless of the outcome of brexit negotiations, and ensure continued supply and protection of our customers key supply chains. Nearly 75% of the groups current turnover is from export business, and the customer base in the United States is still growing significantly. Investment in Ireland has enabled wasdell to continue to be a safe port for entering the European market, said Sinead Williams, head of operations at wasdell, in an interview with 21st century economic news

I think Yaoming biology is a well planned enterprise in terms of external expansion. At present, Yaoming biology is not an international enterprise, but we have made plans to expand abroad and are on the way to internationalization. According to Brendan, if Chinese companies intend to invest in Ireland, the first step is to make clear what kind of factories they need to build and how much investment they want to make. Investment in Ireland is definitely not only to serve the local market, but also to face the European and North American markets.

For IDA, it is very important to find the right potential investors.

Martin McAuliffe, general manager of Merck millipore Ltd., said when referring to the investment such as YaoMing biology, this is a new story, we are very happy. Of course, one is because of more job opportunities, the other is that Ireland has a lot of investment in North America and Europe, but there is not a lot of investment from Asia, which needs to be balanced to resist risks.

Martin Shanahan, director of the Irish investment and Development Bureau, previously said that the investment of Sinopharm bio has added a powerful stroke to the construction of a new generation of biopharmaceutical industry cluster in Ireland, and has a benchmarking role in attracting green investment in the Asia Pacific region.

For Ireland, it is also very important to improve the pharmaceutical industry chain and strengthen the position of pharmaceutical center. In addition to creating direct and indirect employment opportunities, the base of Sinopharm has also helped Ireland consolidate its position in the pharmaceutical industry and improve its industrial chain. Zhang zhewei believes that Yaoming biology is a leading cdmo company in the field of biotechnology in the world, providing a good platform for the development of the industry.

In the past three years, Chinese pharmaceutical companies have increasingly focused on global resources. The main investment demand is to enhance the value of enterprises and products, including R & D, manufacturing and services. Similarly, in the past three years, the Irish Investment Development Agency has been following up with these changes. For example, service-oriented platform enterprises are very popular innovative pharmaceutical enterprises in the near future; in terms of products, from small molecules to biopharmaceuticals, they are all pharmaceutical enterprises that we actively contact.

In terms of the types of pharmaceutical companies that have invested in Ireland, apart from cdmo companies such as Sinopharm bio, Nanjing legend has set up its European headquarters in Ireland as its R & D and business operation platform. Kangzhe pharmaceutical has set up a European headquarters in Ireland to manage the sales and services of its global drug licenses. Ireland has a complete ecological environment for the pharmaceutical industry. From R & D, testing, to clinical and commercial transformation and production, it is an ideal investment destination for Chinese enterprises in the European market.