After facing massive losses coupled with regulatory hurdles in the American market, Ranbaxy Laboratories Ltd has chalked out plans to revamp its US business.
Ranbaxy CEO and Managing Director Malvinder Mohan Singh stated that company’s focus will be to resolve regulatory compliance issues and continue to strengthen cGMP (certificate for good manufacturing practice) across all locations. For the year, 2009, Ranbaxy has a clear strategy to harness its growth potential in the emerging markets, rebuild the US business through a series of actions on products and facilities.
For the quarter ended March 31, 2009, Ranbaxy reported a loss of 153 million dollars, while it posted a 14 per cent decline in its US business at 68 million dollars. The company is taking various actions for minimising its losses. It is also working to increase the capacity of its US-based subsidiary Ohm Laboratories.
In September last year, US health regulator Food and Drug Administration had banned the import of 30 generic medicines manufactured at Ranbaxy’s two plants — Paonta Sahib and Dewas — in India. Ranbaxy had indicated that it is looking for acquiring FDA approved manufacturing facilities to shift its products from Paonta Sahib and Dewas.