China to invest $760 million in production of APIs; India pitches for business

The Government of China has announced its plans for massive investments in the production of active pharmaceutical ingredients (APIs). The total value of the investments is estimated at 5 billion renminbi ($760.5 million). Part of the funds are expected to be provided to Chinese pharmaceutical producers in the first half of 2011.

According to the Pharmaceutical Manufacturers Association of China, over the next five years, financial support will be given to approximately 60 domestic manufacturers of APIs. In turn, the producers are required to produce drugs that meet international quality standards, with the aim of their further exports abroad.

According to analysts’ estimates, total volume of Chinese exports of pharmaceutical ingredients at the initial stage is expected to be equivalent to $4 billion. Further details of the project were not disclosed.