India is among the major producers of medicines for both the domestic and international market through its top pharmaceutical manufacturing companies. As there is an increasing need for inexpensive and quality medicines, there is an increasing trend of pharmaceutical firms collaborating with trusted Third Party Pharma Manufacturers without setting up their manufacturing facility.
By means of third party manufacturing, pharmaceutical firms can market medicines that are produced in an already existing pharmaceutical company. The above arrangement reduces infrastructure cost, eases manufacturing process and facilitates branding, marketing and distribution.
When you want to establish or expand your pharmaceutical business, then selecting a good manufacturing partner becomes very important. In this blog, we will look at 10 pharmaceutical companies that could be considered for third-party manufacturing in India.
What Is Third Party Pharma Manufacturing?
Third Party Pharma Manufacturing is a business partnership where a pharmaceutical firm delegates the manufacturing of medicines to another company that has the right manufacturing facility and approval. The marketing company is solely responsible for selling, distributing, and brand creation, whereas the manufacturing company manufactures as per the terms of agreement.
This is ideal for pharmaceutical marketers, PCD pharma companies, distributors, and firms that are looking to launch their own medicine brands.
Some of the benefits are:
- Reduced Investment: It will not be required to set up an entire manufacturing unit for pharmaceuticals.
- Variety in Products: Ability to have variety in medicines depending on the manufacturing company.
- Expansion of Business: An opportunity to launch more products and enter other markets.
- Technical Know How of Production: To use the expertise of the manufacturing company in production.
- Marketing Focus: More time will be available for marketing efforts.
Top 10 Third Party Pharma Manufacturers in India
The following is a list of companies which are well known in the Indian pharmaceutical industry and may be assessed by the potential buyer for manufacturing alliances. Their appropriateness for specific products, minimum order quantities, dosage forms offered, and current third-party manufacturing capability should be verified from each company individually.
- Jemster Healthcare
Jemster Healthcare is one of the third party manufacturers producing products under a wide range of therapy areas. Its widespread distribution makes this company an ideal choice for assessing the Indian pharmaceutical manufacturing scenario.
Prior to reaching out to this company, make a list of the products you need along with their dosage forms and quantities required.
- Alna Biotech
Alna Biotech is a reputed pharmaceutical company from India, specializing in respiratory care along with many other therapeutic areas. This firm is present in both the domestic and international marketplaces and has vast experience in the manufacture of pharmaceuticals.
In regard to Alna, it is important for potential partners to ensure that the necessary products, manufacturing arrangements, and other commercial conditions are available for their business model.
- Ultra Biolabs
Ultra Biolabs is a substantial player in therapeutic areas such as cardiovascular care, central nervous system disorders, and others. It is a reputable pharmaceutical manufacturer in both the domestic and international marketplaces.
- Alkem Laboratories
Alkem Laboratories is renowned for its pharmaceutical formulations and coverage of several therapeutic classes. It caters to various health care market segments and has developed manufacturing capabilities.
A partner needs to consider the product expertise, documentation, capacity, and the readiness to make the required commercial commitment of the company.
- Intas Pharmaceuticals
Intas Pharmaceuticals is engaged in pharmaceutical formulations and specialized health care sectors including those that have applications of biotechnology. Its manufacturing and global business expertise make it a company worthy of investigation for pharma collaboration.
Whether Intas is suitable will depend on the category of the product, technical considerations, and whether there is a suitable external manufacturing arrangement.
- Cent Cure Pvt. Ltd.
Cent Cure Pvt. Ltd. is an already existing pharmaceutical company that deals in various therapeutic areas such as respiratory, cardiovascular and others. The company is widely known in both Indian and international pharmaceutical industries.
The potential buyers need to find out the information about products, manufacturing options, orders, and terms before choosing the company.
- Janus Biotech
Janus Biotech is an already existing pharmaceutical company that works with therapeutic areas such as cardiovascular, central nervous systems and others. It is widely known in both domestic and international pharmaceutical industries.
The company needs to establish whether its existing manufacturing facilities have room for production of third party brands or products.
- Farlex Pharmaceuticals
Farlex Pharmaceuticals is an established pharmaceutical company from India, with a wide range of products in different therapeutic areas. Therefore, Farlex Pharmaceuticals can be an ideal company to look at while studying the pharmaceutical manufacturing companies in India.
- Biopolis Lifesciences
Biopolis Lifesciences is a well-established pharmaceutical company with expertise in formulation and active pharmaceutical ingredients. It operates in many international markets and has considerable pharmaceutical manufacturing operations.
Companies who intend to research on Aurobindo must ascertain if the company currently possesses the manufacturing capacity to meet their product requirements.
- Associated Biotech
Associated Biotech is a company that has businesses in a number of pharmaceutical & healthcare segments including formulations & special therapeutic products. It is an established company in the pharmaceuticals industry in India.
Businesses interested in manufacturing collaborations must first confirm the company’s product portfolio, capabilities and commercial requirements.
How to Choose the Best Third Party Manufacturing Pharma Company?
The selection of a Third Party Manufacturing Pharma Company may affect your product’s quality, reputation of your company, scheduling, and even your profitability. Consider the following parameters prior to making the final decision:
1. Manufacturing Licences and Certifications
Ensure that the selected manufacturer possesses all necessary licences, and meets all Indian pharmaceutical regulations. Check the list of applicable GMP requirements of the manufacturing facility, and also, if applicable, WHO-GMP claims of the same.
2. Scope of Products Manufactured and Specialisation
Select a manufacturer who has experience in manufacturing products belonging to your required therapeutic classes, for example, tablets, capsules, syrups, ointments, injections, etc. It is worth remembering that not all companies produce all dosage forms.
3. Quality Control Measures
Inquire about testing procedures, stability studies, procedures of dealing with customer complaints and recalls, documentation, etc.
4. Minimum Order Quantity and Price Terms
Compare minimum order quantity, price per unit, packing costs, taxes, payment terms, and transportation costs. The lowest price does not always mean the best choice.
5. Packaging and Branding
Ensure that the company will be able to support your branding, packaging, labelling, and artwork requirements. Also, establish who is in charge of reviewing and approving your brand before printing or releasing products.
6. Production Capacity and Delivery
Consider lead times, raw material availability, order scheduling, and dispatching. Clear communication is key to avoiding any delays and product shortages.
What Is the Difference Between Third Party Manufacturing and Contract Manufacturing?
Third party manufacturing and contract manufacturing are often used interchangeably in the Indian pharmaceutical industry. Both generally involve outsourcing production to a separate manufacturer.
The exact commercial and regulatory responsibilities depend on the agreement. The contract should clearly define product specifications, quality responsibilities, ownership of product registrations where applicable, labelling, payment terms, confidentiality, liability, and recall procedures.
Before signing an agreement, ensure that responsibilities are consistent with the applicable pharmaceutical regulations.
Why Is Third Party Pharma Manufacturing Growing in India?
Third party manufacturing is aided by the presence of the existing pharmaceutical industry supply chain, skilled labor force, manufacturing infrastructure, and availability of various categories of medicines in India.
The benefit of this strategy is that it minimizes the investment in setting up manufacturing plants for companies venturing into pharmaceuticals. Companies can concentrate on market research, product selection, distribution, and maintaining customer relations.
But, the success of such a venture depends upon proper supplier selection, accurate demand forecasting, compliance with regulations, and quality control. Outsourcing manufacturing does not absolve the marketing company from its legal obligations.
Conclusion
The selection of the appropriate Third Party Pharma Manufacturers is a crucial part of any pharmaceutical company that intends to create its own product lines and increase its market share. Some examples of reliable third party manufacturers include companies like Janus Biotech, Ultra Biolabs, Alna Biotech, Associated Biotech and many others. However, the readiness of these players to perform third party orders should be investigated first of all.
Consider the capacity of production facilities, necessary licences, quality system, prices, minimum quantities of order, packaging, and delivery issues before choosing a manufacturer.
If you are an owner of the pharmaceutical business, distributor or marketing company, a chosen manufacturing partner can help you grow your business in a sustainable way.
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