Vietnam welcomes major Indian pharmaceutical investments

On the morning of July 31, during his visit to India, Vietnam's Prime Minister Pham Minh Chinh met with leading Indian pharmaceutical corporations to discuss significant investment proposals for Vietnam's pharmaceutical sector.

P. Ramesh Babu, chairman and managing director of SMS Pharmaceuticals, and Narendra Reddy, managing director of Sri Avantika Contractors, proposed establishing a 500-hectare pharmaceutical manufacturing park in Nghi Son Economic Zone in the central province of Thanh Hoa.

The initial investment for the project is approximately $200 million, with plans to expand total investment to $4.5–5 billion over the next decade. This project aims to create an eco-industrial park housing vaccine production facilities, antibiotic manufacturing plants, and anti-cancer drug factories. Numerous secondary investors are expected to participate in producing and exporting products to the United States and Europe.

"There are currently about 50 secondary investors ready to join this project. We want to partner with the Vietnamese government to bring secondary investors to Vietnam, create jobs and income for the Vietnamese people, help Vietnamese businesses start up, and develop Vietnam's pharmaceutical industry," said Babu.

The Indian pharmaceutical leaders explained their choice to invest in Vietnam by highlighting their collaboration with Thanh Hoa province and the significant support they have received. They noted that Vietnam is a dynamic country in Southeast Asia and a top investment destination.

Post-COVID-19, Vietnam has become an attractive investment hub, particularly in the pharmaceutical sector. They expressed hope that the Vietnamese government would facilitate land acquisition, site clearance, investment procedures, tax incentives, and other supportive policies.

Dharmesh Shah, founding chairman of BDR Pharmaceuticals, expressed his intention to invest in a high-tech anti-cancer drug production project. "BDR aims to manufacture finished products and transfer technology to Vietnam, contributing to elevating Vietnam's position in the pharmaceutical sector," said Shah.

Welcoming the interest of Indian pharmaceutical corporations in investing in Vietnam, PM Chinh described the decision to invest in Vietnam as a smart choice. "The demand for pharmaceuticals, medical treatment, and healthcare among the Vietnamese population is currently very high, while Vietnam imports up to 33 per cent of its pharmaceuticals from India," he said.

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