Dong-A ST struck a strategic business alliance with Iranian pharmaceutical Rooyan Darou to develop biologic drugs in Iran, the Korean company said Tuesday.
Under the deal, Dong-A ST동아ST will transfer manufacturing technology of two drugs --Growtropin and Leucostim --to its Iranian partner. Dong-A will then, in successive steps, transfer the manufacturing technology of two other drugs, Gonadopin and Eporon.
The Korean pharmaceutical will gain royalties from Rooyan Darou as a percentage of sales in exchange, the company said.
Rooyan Darou will also construct production facilities in Iran and begin selling Dong-A ST biologic products starting in 2019, Dong-A added.
Iran’s medical product market amounted to around $1.93 billion in 2015 and is expected to grow at an annual rate of 6.4 percent $3.59 billion by 2025.
Iran’s healthcare market will likely multiply as the Teheran government pledged to localize the production of biologics and increase the self-sufficiency rate to 75 percent, the Korean company said.
“Iran, despite the size of its economy and population, had had a small healthcare market due to the U.S.-led economic sanctions. With the lifting of those sanctions last year, we expect demand for medical products will rise,” a Dong-A ST official said.
Rooyan Darou is a small- to medium-sized Iranian company established in 2003 that sells animal products and other medical products with annual sales of 150 billion won ($136 million).
“The strategic alliance will be the foundation for increasing exports to the Middle East market, including Iran,” the company official said.
<© Korea Biomedical Review, All rights reserved.>