Hoechst Pharma Arm Shelves Expansion

Hoechst Marion Roussel (HMR), the pharmaceutical arm of the $ 36-billion Hoechst group, has put on hold its expansion plans for India citing delay in the government enactment of a new patent legislation.

Debabrata Bhadury, managing director, HMR, said though the German parent desires to invest in Indias pharma operations, the existing patent laws make it difficult for foreign companies to operate and invest in research and development. India, he said, was missing out on investment opportunities due to the delay in a new patent regime.

In India, other manufacturers copy with impunity and the original product developers do not get sufficient protection, he explained.

 

The German major recently restructured its Indian operations by spinning off its various divisions into separate companies. While HMR concentrates on pharmaceuticals and Hoechst Veterinary on animal health care, Hoechst Schering AgrEvo produces agro-chemicals. Colour-Chem is engaged in speciality chemicals and DyStar India, the joint venture with Bayer India, produces dyestuffs.

At the same time, the company is going forward with new launches like products in cardiovascular, antibiotic, immunology and anti-diabetic categories. These will be launched during the later part of the year.

HMR also plans its maiden entry into the anti-epilepsy therapeutic category sometime next year.

The epilepsy product comes from the Marion Merrell Dow stable which was acquired by Hoechst in 1994-95 and will mark Hoechsts entry into a new therapeutic category.

Despite the lack of stronger patent laws, the company is going ahead with new launches as it wants to increase market share, said Bhadury. Hoechst now holds 3.7 per cent of the domestic market and is ranked fourth by ORG

Currently, the company holds 3.7 per cent of the domestic market.