Japan’s Takeda optimizes global production network

Japan’s largest drugmaker, Takeda Pharmaceutical (TYO: 4502) has decided to focus its Osaka plant (Osaka Prefecture, Japan) to become a specialty manufacturing site for prostate and breast cancer and endometriosis treatment Leuplin/Lupron (leuprorelin), one of firm’s main products.

It will transfer the manufacturing of solid products to its plants at Hikari (Yamaguchi Prefecture, Japan) and Oranienburg (Brandenburg, Germany), a process that will be completed during fiscal year 2018, in order to optimize its global manufacturing network.

The Osaka plant will continue to contribute to the company’s business as a specialty manufacturing site for Leuplin. Meanwhile, the Hikari Plant will further expand its capacity to produce various ethical medicines, including anticancer drugs and vaccines. The Oranienburg Plant which has excellent productivity will further enhance its capacity and continue to deliver products to many countries.

Aim is to become “fit and competitive”

“Takeda aims to become fit and competitive for the future by realizing a best-in-class, patient and customer-centric organization.” said Tetsuo Miwa, senior vice president, Pharmaceutical Production Division, adding: “Through our effort towards optimizing our global manufacturing network, our company will further enhance our productivity and streamline our global operations, as well as further reinforce our manufacturing and supply system for focus on timely delivery of our high quality products to patients and healthcare providers throughout the world”.

To facilitate the transfer of production, Takeda estimates a capital investment of about 9 billion yen ($76.6 million) for the Hikari Plant and a marginal additional investment in equipment in the Oranienburg Plant. Takeda's consolidated financial statement for the fiscal 2014 will not be impacted by this decision to transfer production.