Drug maker Natco Pharma is diversifying into agrichemicals and, as part of the foray, setting up a manufacturing plant in Nellore of Andhra Pradesh with an investment of ₹100 crore.
The company has initiated work on greenfield manufacturing facilities for producing niche agrichemical products in Nellore district. Agrichemical technical and formulation products are to be manufactured at the facilities.
A leading player in the pharma industry, Natco “strongly believes its pharma strength in chemistry coupled with an acumen towards selection of niche molecules would differentiate itself in the agrichemical space as well,” a statement from the company on Friday said.
Natco Pharma expects the manufacturing plant to be commissioned by the year-end.
Sources in the company said the product line was yet to be finalised. Natco Pharma intended to seek technical assistance for the venture. The first products from the venture was likely to hit the market some time early 2019-2020. The land for the project in Nellore, about 10 acres, was purchased by the company from an AP government agency.
In pharmaceuticals, the company is into development, manufacturing and marketing of Finished Dosage Formulations and Active Pharmaceutical Ingredients (APIs), including niche and technically complex molecules. In 2017-18, it had posted a consolidated revenue of ₹2,242.4 crore and a consolidated net profit of ₹695.2 crore.
