Merck Serono recently stated that it would team up with a firm from Abu Dhabi to produce medicines for both domestic and regional markets. Merck will be the first multinational firm of its kind to make branded products in the United Arab emirates-UAE.
The CEO of Merck Serono, Stefan Oschmann said that the company which is the pharmaceutical arm of Merck KGaA will start by producing two of its products at the Neophatma's facilities located in Abu Dhabi.This will be the first ever partnership by the German firm in the Middle East, the CEO added.
Stefan Oschmann said that the Middle East is an important and fastest growing region for their products. He said that the company plans to meet 100 percent of all regional demand for the products. Although he denied giving specific figures, he mentioned that the revenue that the firm will earn from the emerging market will account for a third of the total revenue earned by Merck.
Presently, UAE suffers from high prevalence of diabetes. According to the Ministry of Health in the UAE, almost 827,000 people aged 20 o 79 years suffer from diabetes in this part of the world. Amin al Amiri, Assistant Under-Secretary for Medical Practices and License in the Ministry of Health said that almost 40 percent of UAE's overall expenditure in health-care sector is currently diverted towards treatment of diabetes.
Amiri said that the alliance between the two firms will enable increase in the supply of trusted branded medicines which is urgently required to ease out the crisis caused due to diabetes which is currently straining the financial resources of UAE.
Presently, the Middle East accounts for the largest market for the diabetes- drug manufactured by Merck called, 'Glocophage' which is currently being imported from Europe to meet the demands of the regional markets. The two products planned to be produced at the facilities of Neopharma in Abu Dhabi include 'Euthyrox', which is a synthetic thyroid hormone and 'Glucophage', used to treat people suffering from Type-2 Diabetes.
Sources from the firm confirmed that the production of the two branded products will commence from 2013.