Updated on 15 May 2012
Drug manufacturing accounts for 25 percent of company costs and achieving agility in the production process has now become essential for pharma companies hoping to align their supply chains with constant shifts in global product demand. In addition to offering efficiencies in cost, capacity and time-to-market, contract manufacturing organizations (CMOs) provide innovative, state-of-the-art process and production technologies to support the rapid technical transfer of products from R&D to commercial manufacturing.
Looking at the opportunity and potential, Inno Bio Ventures, an initiative of the Ministry of Science, Technology and Innovation (MOSTI), Malaysia, decided to venture into this niche sector by setting up Inno Biologics, in 2002.
It won the BioSpectrum Asia Pacific Bioscience Industry Emerging Company of the Year Award for 2010.
Contract manufacturing has emerged as a major business opportunity for companies in the developing world mainly in Asian region. The global CMO market has grown from $12.8 billion in 2002 to $20.5 billion in 2008. The Asian CMOs share of global market is predicted to double from 10 percent in 2009 to 20 percent by 2013. Analysts expect the sector to see a CAGR of 11 percent.
Inno Biologics has set up 1000L facility that was designed and built by the world's leading cGMP EPCC service provider, Pharmaplan of Germany using the modular concept. The biomanufacturing complex began its operation in July 2006. The facility was built to conform to the US Federal Drug Agency (US FDA), European Medical Authority (EMEA) and Pharmaceutical Inspection Convention (PIC) regulations. Even Malaysia's National Pharmaceutical Certification Board (NPCB) has audited this facility.
The establishment of Inno Biologics signifies the first Malaysian entry into the highly regulated global biomanufacturing market. With this initiative, Malaysia is now ready for the challenge of establishing its footprint in the contract manufacturing sector and contributes to creating new economic opportunities in the regional biotech industry.
Set up with an initial investment of $20 million with 10 employees in 2003, Inno Biologics received BioNexus status in 2006. The BioNexus status offers a number of benefits such as 10 year tax exemptions, various grants and removal of restrictions on employing expatriate, to entrepreneurial companies that are involved in research and development.