PHARMAPOLIS – REFERENCE INFORMATION ON THE ACTIVITIES OF THE “PHARMACEUTICAL MEDICAL POLIS OF THE REPUBLIC OF TATARSTAN” LTD.

In accordance with the decree No. 251of the Cabinet of Ministers of the Republic of Tatarstan, dated April 16, 2018, the Institute for the Development of the Pharmaceutical Industry of the Republic of Tatarstan has been formed as a project office – as a limited liability company “The Pharmaceutical Medical Polis of the Republic of Tatarstan” (further referred to as “PharmMedPolis”).
The company is entrusted with the functions of strategic and operational management of targeted work with the residents to develop the pharmaceutical and healthcare innovative industries in the republic, and the market of healthcare services of the SCO and BRICS countries.

Today, the company is involved in the following projects:
 – amendments to federal law No. 160-FL  “On the International Medical Cluster” aimed to regulate the particularities of the creation and operation of the Tatarstan Republic cluster and its interaction with the SCO (/the BRICS) countries under the jurisdiction of the Russian Federation;
– the establishment of a clinical center aimed to provide the treatment based on the technologies, previously unregistered in the Russian Federation, but well-spread in the world (in the SCO and the BRICS countries);

– the establishment of a Small Innovative Enterprise (SIE), namely the preclinical and clinical research site, to provide  the full range of services in drugs development and research, at the facilities of the federal university. The key advantages: the experience, competencies and the possibility to conduct the further phases of clinical research at the established facilities;
– the establishment of a pharmaceutical cluster of the Republic of Tatarstan with the aim to take the cooperation among the existing companies (business entities) to the next level and to produce  globally competitive goods;
– the establishment of a training center  to provide regular qualification upgrade services, to promote the experience exchange among the Russian and foreign specialists in the field of pharmaceutical and medical sciences, as well as to provide a residence program, including accreditation in foreign colleges and universities and training of foreign citizens in the territory of the Russian Federation;
– an option to create additional sales channels through pharmacy chains allowing for making profits through a rapid growth of sales, due to service excellence and low costs (i. e., online pharmacies);

– an option to integrate the achievements of the domestic robotics enabling for  automation and optimization of the existing pharmaceutical and medical goods production.

According to the latest data, the market of drugs has a turnover of 1.629 trillion rubles, in which public procurement amounts to 316 billion rubles. Every year the pharmaceutical market of Russia grows by 11%, being one of the fastest developing. The positive dynamics in the sales of drugs,in terms of units sold, in 2017 indicates an improvement of the consumer purchasing power and a reduction of the financial and economic factors impact on the pharmaceutical market.

However, the principle of the “third man out” in public procurement creates advantages for the domestic manufacturers during their participation in tenders for the supply of drugs and medical products, which is one of the great incentives for foreign investors to start new production in Russia or to implement the mechanisms of contract manufacturing.

Another factor of attraction is the completely free niche for the production of active pharmaceutical ingredients (further referred to as API). The production covers the three areas: the application of API, the application of the excipients and the packaging materials.

The composition of drugs depends on their dosage form; the more components are used, the higher is the dependence on the raw materials sources. The dependence on ingredients shipments is quite linear – API require registration to be used in the production of drugs.

The number of proposals for API supply is limited to the number of registered producers. API have the highest degree of dependence on the suppliers. The drug manufacturer can choose only from the list of the registered API, register API independently or use several API, which can reduce the dependence on the suppliers.

Historically, a favorable business environment has emerged in the Republic of Tatarstan, pharmacy and medical science being no exception. The entrepreneurs benefit from the existing developed infrastructure – the federal highway, railways, the airport.
Many educational institutions, in which more than 110 thousand students are trained, allow for the provision of highly qualified personnel for the production. In the field of pharmaceuticals and medical science, the profession-oriented universities are the chemical, technological and medical ones, such as the KFU, the KSMU, and the KNRTU. Businesses can enjoy the benefits of the several economic zones in the republic (such as SEZ, TPSEDA)  giving access to cheap resources, special tax incentives, and stimulate the public-private sectors partnership.

The concept of the  “PharmMedPolis”  LTD implies the coordinating role of the project developer (“PharmMedPolis” LTD ) for businesses and investors, and assigns to us the following functions:
-the creation of a unified research platform of the Republic of Tatarstan in the field of pharmaceuticals and innovative products for medical purposes;
– conducting the audit of the potential sites in the Republic of Tatarstan, suitable for the location of pharmaceutical production, taking into account the prescribed sanitary protection zones for various groups of drugs, the proximity of  infrastructure and  human resources;
-the preparation of the infrastructure in cooperation with the SEZ, the TPSEDA, and the municipal institutions of the Republic of Tatarstan;

– additional fundraising (such as the funds of innovative state corporations, private investments, government subsidies and programs);

-the initiation of special investment programs at the level of the federal executive bodies;

-organizing the events  promoting the residents’ activities, including the events taking place abroad;
-interaction with existing research and development institutions  (such as  JSCS  “Tthe Innovation and Production Technopark “Idea”, JSC “ROSNANO”, The “Rostech” State Corporation, and others).
-providing consulting services to the residents;

– assistance in the promotion of the residents´ products to enter the Russian market and the markets of the Euro-Asian Economic Union;
–  technology transfer services, design and construction of the premises in accordance with the GMP standards;

At the moment, the prospective land plots have been identified, for the location of pharmaceutical and medical goods production complying with the sanitary protection zones requirements, in the view of engineering and  transport infrastructure availability, and the types of the manufactured goods produced under special preferential terms in advantageous locations. http://infoservice.su/map/– link to PharmMedAtlas.

The company has participated and is planning to participate in forums to popularize its activities and to look for potential partners. “PharmMedPolis” LTD  cooperates with large associations engaged in exports (such as “Pharmexcil”). The Tatarstan-Indian forum is going to take place in November with the participation of “Pharmexcil” company. Interaction with a large Chinese industrial association has helped to establish contacts with “Sonoscape”.

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