Shared Commitment to Holistic Care Needed to Surmount Challenges

Q: How has Boehringer Ingelheim continued to innovate in the pharmaceutical sector, specifically in terms of addressing the needs of Mexican patients?

A: Last year, we broke records commercially and in terms of research achievements. For the first time in our company's history, Boehringer Ingelheim allocated over 22.5% of its annual revenue toward R&D initiatives globally. Our focus on R&D spans from early discovery to clinical trials and product releases. Boehringer Ingelheim is focusing on diabetes, with ongoing efforts to commercialize treatments. We are also expanding our product portfolio to encompass a broader spectrum of treatments, particularly in the cardio-renal-metabolic area, which is of paramount importance in Mexico.

Mexico faces significant health challenges as about 70% of individuals over 20 years old grapple with obesity or being overweight, which can lead to serious health issues, including cardiovascular diseases. Our product lineup is instrumental in averting cardiovascular events and saving lives.

Our respiratory portfolio also remains robust thanks to a long history, of more than 100 years, of addressing both obstructive and restrictive pulmonary diseases. Recent additions include a product targeting melanoma and another targeting progressive pulmonary fibrosis, which has demonstrated notable efficacy in the market. We are innovating in numerous therapeutic areas, including mental health, oncology, and cognitive impairment in schizophrenia patients. By 2030, we anticipate launching 25 new products globally in Human Pharma by 2030 and more than 20 product launches in Animal Health until 2026, many of which address healthcare challenges prevalent in Mexico.

Q: How do you differentiate from similar offers in the market?

A: Boehringer Ingelheim is the largest privately owned pharmaceutical entity globally, overseen by a consortium of German families. Our steadfast dedication to long-term success eschews the focus on quarterly returns in favor of sustained, enduring growth. This philosophy underpins our willingness to allocate a significant portion of our revenue to R&D, ensuring our financial viability while facilitating innovative breakthroughs. Our portfolio extends beyond human health to include animal health, aligning with the holistic approach advocated by the World Health Organization (WHO). We have dedicated research teams exploring the intersection of human and animal health.

We have two state-of-the-art manufacturing facilities in Mexico City, which produce oral anti-diabetic medications for the domestic and international markets, contributing significantly to Mexico's pharmaceutical trade landscape. We have a facility in Guadalajara that exclusively manufactures vaccines for the animal health segment. Our robust manufacturing infrastructure underscores our commitment to local production and export excellence, further solidifying our position as a leader in the Mexican pharmaceutical industry.

Q: How has Boehringer Ingelheim adapted its global supply chain management strategies to ensure the delivery of medicines?

A: Nearshoring is not new to us. Boehringer Ingelheim has seized the opportunities presented by NAFTA, strategically repositioning our manufacturing footprint to capitalize on the advantages offered within the free trade zone. We are convinced that Mexico makes sense and we are unwaveringly committed to Mexico as a hub for manufacturing investment. We plan to further augment our packaging and manufacturing lines in Mexico in the coming years. This ongoing investment reaffirms Mexico's pivotal role within the global supply chain.

While navigating global supply chains presents multifaceted challenges, such as sourcing APIs from the European Union, we remain steadfast in our commitment to optimizing our operations. Through collaborative endeavors with industry peers and regulatory bodies, we aim to address challenges and drive efficiencies across the board.

Q: In light of ongoing  elections  in Mexico, what proposals do you think are needed to improve the country’s pharmaceutical industry?

A: Mexico is at a crucial juncture where concerted efforts are needed to address overarching healthcare concerns. There is considerable room for improvement in Mexico’s healthcare system. Discussions surrounding the establishment of a universal healthcare system have been ongoing, reflecting the collective recognition of the need for broader access to healthcare services.

Healthcare financing also warrants urgent attention. While there has been a marginal increase in healthcare expenditure, the current allocation of 3.4% of GDP falls short of the OECD’s 6% average. Elevating this allocation demands innovative solutions and collaborative engagement across sectors. A multifaceted approach, encompassing contributions from the pharmaceutical industry, healthcare providers, and civil society, is essential to devising sustainable solutions. Only through a shared commitment to holistic healthcare reform can we surmount the challenges confronting the healthcare system. By bridging public and private domains it could be possible to deliver tangible benefits to all residents of Mexico.

The imperative of healthcare reform transcends individual interests, compelling us to embrace a collective responsibility. By fostering a culture of collaboration and innovation, we can pave the way for a more equitable and resilient healthcare system.

Q: How can the government’s Wellness Pharmacy increase access to medications and benefit Mexicans?

A: For years, patients in Mexico have encountered difficulties in acquiring their prescribed medications when visiting government healthcare institutions. Addressing this issue requires a multifaceted approach to optimize the supply chain for domestically manufactured or imported pharmaceuticals procured through government tenders. A pivotal step involves a meticulous evaluation of the existing supply chain to scrutinize both the domestic production and importation processes. This step should be followed by assessing the efficacy of distribution channels at hospitals and pharmacies. This proactive approach entails recalibrating supply arrangements and refining distribution mechanisms to enhance accessibility for patients.

The recently introduced universal pharmacy initiative represents a commendable endeavor to mitigate this challenge. While it may not be a panacea, its implementation points to the acknowledgment of the systemic deficiencies and a genuine commitment to improve. However, the efficacy of such interventions hinges upon collaborative efforts from both the public and private sectors.

Mexico boasts a robust pharmaceutical manufacturing sector with over 3,500 active manufacturing sites, but bridging the gap between production capabilities and seamless delivery to patients needs a concerted effort. A comprehensive approach encompassing demand forecasting, logistical optimization, and patient outreach is essential to streamline the pharmaceutical supply chain.

Q: How ready is Mexico to fully embrace the technologies associated with Pharma 4.0?

A: Mexico has yet to fully harness the potential of technology. The country lags behind in terms of Wi-Fi connectivity, which is reflective of broader trends across many Latin American countries, where access to basic technological amenities remains uneven. Technology holds immense potential as a catalyst for addressing societal challenges, such as providing care in remote communities. Through the judicious deployment of technology, it is possible to establish telemedicine facilities capable of delivering remote diagnoses and facilitating the seamless procurement of medication.

While technology could help, the reality is that significant infrastructural deficiencies persist in Mexico. Establishing the requisite technological backbone to support such initiatives remains a challenge. With concerted efforts and strategic investments, it is conceivable to bridge this technological gap and unlock the transformative potential of technology in addressing societal inequities.

Q: What initiatives has the company undertaken to promote environmental sustainability?

A: We eschew short-term gains in favor of enduring sustainability. Central to this approach is fostering discussions on sustainability within our company and communities. Our commitment to sustainable development spans multiple generations, underscored by three foundational pillars: More Green, More Health, and More Potential.

Under the More Green pillar, we champion eco-friendly initiatives aimed at reducing our carbon footprint. For example, we prioritize the use of hybrid vehicles within our salesforce. We are also proud to have earned recognition as the first pharmaceutical company to receive the Alliance for Water Stewardship certification, which highlights our dedication to preserving natural resources.

The More Health pillar embodies our unwavering dedication to promoting equitable access to our products. Through collaborative efforts with distribution networks and pharmacy chains, we strive to ensure that our pharmaceutical offer is accessible to underserved communities. This includes initiatives to provide high-quality products at affordable prices.

Finally, the More Potential pillar follows our commitment to maximize resources for the long-term sustainability of communities. This encompasses not only human capital but also the efficient use of all available resources. Our global sustainability strategy for Generations, developed in collaboration with stakeholders, guides our endeavors in this regard. Through concerted efforts and strategic partnerships, we endeavor to realize our vision of a sustainable future for generations to come.

Boehringer Ingelheim focuses on the research, development, production, and commercialization of innovative, high-value therapeutic products for both human and animal health.