Schott targets growth in Russia

By Gareth Macdonald

- Last updated on GMT

Related tags Russia

Primary packaging maker Schott has joined the growing list of drug industry companies seeking to tap Russian government demand for increased domestic manufacturing.

Late last year​ Russian PM Vladimir Putin set out a RUB120bn ($3.9bn) plan designed to boost home-grown drug production to reduce the country’s reliance on medicines produced abroad.

This plan, coupled with Putin’s warning that firms face ‘restrictions’ ​if they do not move production to Russia, has seen firms like GSK, Teva​ and, more recently, AstraZeneca​ announce plans to expand operations in the country.

Packaging specialist Schott has now joined this group according to spokeswoman Sabrina Winter told that: “Schott wants to support the Russian pharmaceutical industry in their development towards the goals of the national "Pharma 2020" strategy.”

Winter cited the firm's recently established production facility in Zavolzhe, near Nizhny Novgorod, as a key part of the its growth strategy in the country.

The facility, which was originally scheduled to become operational in 2009​ and then in 2010​, finally started manufacturing vials and ampoules in March this year, primarily for customers in Russia and CIS countries.

She explained that: “So far, Russian customers have been mainly supplied from Schott’s existing plant in Hungary. With the new plant in Zavolhe, customers will be able to benefit from shorter production and delivery timelines.

Besides, it will be easier to cooperate as there are no more language barriers with a local production site and local contacts,” Winter continued, adding that Schott want to position itself as a reliable partner for the Russian pharma sector.

The Zavolzhe site, which is due to be inaugurated at this month, also further extends Schott’s manufacturing presence in high-growth pharmaceutical markets like China and Argentina, as well as in mature markets like Japan and the US.

At present Schott claims to have more than 600 pharmaceutical packaging production lines in 14 countries around the world.

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