Bahiafarma reopens manufacturing unit in Brazil to cut cost of drugs

Brazil’s Bahia Foundation for Scientific Research and Technological Development, commonly known as Bahiafarma, reopened its manufacturing unit last month to supply the country's Unified Health System (SUS), writes Juliane Carvalho of Brazil Pharma News.

The state-owned facility is located in the Aratu Industrial Center in the city of Simoes Filho, Bahia state (Northeast of Brazil). The new plant will produce more medicines with the goal of increasing the government's subsidized production of medicines and reduce the cost. Bahiafarma was decommissioned in 2002, but reopened in 2011 by the Bahia government's decree. The state believes that the resumption of production after 12 years will increase the supply of medicines distributed by the Brazilian Ministry of Health through the SUS. Investments of 27 million real ($12.3 million) were made in the factory, from which 12 million real was invested by the Bahia state government.

According to the Brazilian Ministry of Health, this initiative will directly reflect in greater savings for the government and new medicines for SUS patients who need treatment which will be subsidized. The expected expense reduction for the first year alone is estimated in 3.7 million real, or more than 10% of the investments made to rebuild Bahiafarma's unit.