On Tuesday, drug maker GlaxoSmithKline (GSK), established a US $600 million plant in Singapore that is stated to begin producing anti-pneumonia vaccine in 2011. Pneumonia-causing bacteria kills almost 1 million children annually with 90% of the deaths occurring in developing countries. In 2000, the pneumococcal conjugate vaccine was introduced in the U.S., resulting in a notable drop in pneumococcal disease in children.
It was mentioned that due to prohibitive cost of the vaccine it was not yet available in many countries. Andrew Witty, GSK CEO, described that the company’s new price policy was flexible and would help in making its vaccines and other treatments more affordable for people in developing countries. GSK also manufactures the vaccine in Belgium.