Bionovis and Merck KGaA sign agreement to produce eight biosimilars

Brazilian biotech company Bionovis and Germany’s Merck KGaA (MRK: DE) have signed an agreement for the development and production of biological medicines in Brazil, according to Brazil Pharma News.

The agreement is believed to cover eight biosimilar products in Brazil, for the treatment of cancer, rheumatoid arthritis and multiple sclerosis. Merck will transfer production of these products to Bionovis as part of the government’s Productive Partnerships for Development (PPD) program, which brings together public and private laboratories and local and foreign suppliers. In exchange, the Brazilian government will become the largest buyer of drugs produced nationally by the laboratory in a strategy which aims to reduce the country’s billion dollar trade deficit in health.

Stefan Oschmann, Merck’s pharma chief executive, said Merck’s experience in developing, manufacturing and marketing of therapeutic biological drugs will give the company a clear advantage in the field of biosimilars. He said: “Merck is committed to contribute to innovation through the development of new biological drugs and biosimilars, which are vital for patients, health care systems and society.”