BiotechCorp, a Malaysian development agency, recently undertook its first international activities of 2009, meeting with representatives of Indian industry in Hyderabad & Chennai.
Malaysia has launched a range of incentives in an attempt to attract biotechs and outsourcing companies to the nation, including 100 per cent income tax exemption for 10 years commencing from the first year the company derives profit.
The current centerpiece of its efforts to attract outsourcing is the decision by Malladi Drugs, a manufacturer of active pharmaceutical ingredients, to select Malaysia as the site for its expansion into contract research.
Malladi is to invest up to $300m over the next three to five years as it attempts to make itself competitive in the oncology, steroids and beta-lactums clinical trials markets.
This commitment was made despite the current financial climate, which is one factor that gives BiotechCorp confidence that global issues are not preventing investments in Malaysia.
Selvam Ramaraj, senior vice president of the Industry Development Division (Healthcare) at BiotechCorp, said: “Even in present circumstances – there is still a good measure of resilience from external shocks which the Malaysian economy still offer in comparison to our neighboring countries.”
In a report published in 2008 Frost & Sullivan estimates that by 2013, the Malaysian pharma industry will be valued at about $1.8bn, growing at an annual rate of 10.5 per cent.