Cuernavaca: Cornerstone for Manufacturer's Future StrategyWed, 09/05/2018 - 11:37
Q: How do you measure Hetero Group’s market penetration in Mexico?
A: In Mexico, we are predominantly a B2B player in APIs and the finished products segments so it is hard to measure our market penetration, the market share or to come up with a 100 percent predictable sales forecast. What influences our market are government tenders and the performance of our partners in relevant segments. For instance, 2017 was a good year as some of our clients outperformed and some of our important clients got major shares in government tenders, which benefited us indirectly.
The year for us was one of consolidation, especially after the challenges we faced in 2016. We have very positive expectations for 2018 but it depends on the performance of our partners and clients.
Q: Hetero Group is completing a plant installation. What products will be produced here?
A: We had a plant construction in process in Toluca but we decided to move the project to Cuernavaca since it was more appropriate for our business. Toluca was a greenfield project, which would have taken a significant amount of time to set up, while there was an appropriate existing plant in Cuernavaca that we could adapt to suit our needs.
We are still in the process of deciding which products and lines will be manufactured here. Hetero Group is vertically integrated and we are considering product lines that will complement our existing portfolio including oncological, biotechnological, injectables and niche products.
We see great opportunity in the biotech and injectables segments. There are not many players with strong manufacturing capabilities for high-quality, advanced biotechnological products and the same holds for general injectables, making these an interesting market to enter. We are also exploring other niche segments or products lines.
Q: What products does Hetero plan to introduce into the Mexican market in 2018?
A: Our goal is to move increasingly closer to our clients and match their manufacturing needs. We entered the Mexican market with a very limited number of clients but have slowly and steadily raised that figure through our extensive work to serve the needs of our customers and through the hard work of our sales team.
Q: What must be done to address the main medical issues in Mexico?
A: Chronic diseases, such as diabetes, cardiovascular, central nervous system and cancer continue to plague the Mexican population. These conditions require the continuous use of medication throughout a patient’s entire life. Authorities should increase the offering of medications available to these patients to give them several therapeutic alternatives.
Q: How do you expect Mexico’s changing political climate to impact the pharmaceutical sector?
A: We hope the change in administration will not alter the status of the pharmaceutical sector, as tender processes will start in the last quarter of the year. We also hope it will not affect the private market as it is paid out of pocket. One of the factors that can affect the sector is severe exchange-rate fluctuations. For instance, the political situation caused by the US presidential election brought about significant fluctuations in the exchange rate that directly hit our market and imports.