Interview with Dr Qurat-ul-Ain Irfan, EVP Pacific Pharmaceuticals Ltd: Pacific Pharma - the first to get UK MHRA accreditation

BR Research recently sat down with Dr. Qurat-ul-Ain Irfan, Executive Vice-President of Pacific Pharmaceuticals Limited. A medical doctor by profession and a veteran of the health-care industry in Pakistan, Dr. Qurat was instrumental in getting Pacific Pharmaceutical to become the first company in Pakistan to be awarded the prestigious UK MHRA certification. We talk to her about the company’s success in achieving this remarkable feat as well as general issues plaguing the pharmaceutical industry in Pakistan.

BR Research: Walk us through the history of Pacific Pharmaceuticals. 

Qurat-ul-Ain Irfan: Our origins date back to 1947 when the father of our present CEO, Mr Irfan Omer, started a chemist shop by the name of Isman Drug House (Pvt) Ltd. in Lahore. Gradually its retail presence mushroomed, and it became a nation-wide distribution network for pharmaceuticals. Subsequently, we started importing from globally renowned companies such as Marion Merrell Dow based out of the USA as well as Lepetit and Recordati in Italy.

Later on, lsman Drug House was transformed into the modern pharmaceutical manufacturing company now known as Pacific Pharmaceuticals Ltd in 1990. Its plant was and continues to be equipped with ultramodern machinery and equipment and a highly able and experienced workforce.

We are the only pharmaceutical company in Pakistan that has been awarded European Union GMP Certification since 2001 till this date. Our manufacturing plant is equipped with highly sophisticated and state of the art machinery and equipment mostly imported from Germany, Italy and United Kingdom. Pacific Pharmaceuticals is ISO 1400:2004 Certified Pharmaceutical Company by SGS.

BRR: Tell us about the recently attained Medicines and Healthcare Products Regulatory Authority (MHRA) accreditation by Pacific Pharmaceuticals.

QI: We have become the first Pakistani company to obtain accreditation from MHRA, which is a British drug regulator. It is no easy feat to gain access to the British market, and it takes years to get a single product to qualify. However, due to our strong commitment and resilience, we have been successful in obtaining it.

For pharmaceutical companies, making a strong presence in the international markets require quality production facilities in line with global manufacturing practices (GMP). However, to boost exports to developed markets also requires certifications from regulatory institutions of these countries. Think of MHRA as the British equivalent of the US Food & Drug Administration (FDA). This certification will allow us not only greater access into European countries, but also open up untapped markets such as Australia, New Zealand and other Commonwealth nations where UK certifications are accepted.

 BRR: Which export markets do you currently cater to, and who are your prominent local clients?

QI: We are aggressive in expanding our business operation, both horizontally and vertically in our export markets, which include a host of countries such as Kenya, Tanzania, Uganda, Nigeria, Vietnam, Sri Lanka, Bangladesh, Hong Kong, Philippines, Uzbekistan, Kazakhstan, Azerbaijan, United Kingdom and Germany.  As far as the local market is concerned, we have been supplying since day one to the Pakistan Army as well as all the four provincial governments.

 BRR: What is the product range of Pacific Pharmaceuticals?

QI: Almost 90 percent of the products that we manufacture are made under license from our international parent companies. Our product range includes anti-tuberculosis medication, gynaecology ranges as well as medication for gastrointestinal and cardiovascular diseases.

BRR: How many employees does your organisation employ?

QI: We have more than 270 people in our field force, 36 distributors and around 250 people work at our plants. We have a dedicated quality assurance team as well to ensure strict compliance to quality standards.

BRR: How much is your export percentage in your overall sales mix? Also, as far as capacity utilisation is concerned, what has been your production level?

 QI: Revenue for last year clocked in at Rs1 billion, and out of that domestic sales accounted for 80 percent while the remainder were exports.  We had a capacity utilisation of 50 percent last year. `

BRR: In the domestic market, price regulation has remained a pain for many pharmaceutical companies. How have you been coping with that?

 QI: Obviously it tends to get very difficult.  We don’t spend on doctors, and our base has been prescription based from the start. Margins are shrinking, and therefore our focus on exports has increased all the more to make a more profitable sales mix.

This was another reason for going for the MHRA certification, which has enabled us to drastically increase both the number of products that we can export as well as tapping previously inaccessible markets such as Australia, New Zealand, Canada as well as Central Asian states.

BRR: Any recommendations for improving the regulatory framework for the pharmaceutical industry in Pakistan?

 QI: Government should encourage local pharmaceutical firms by giving them fast-track registrations for medicine, new molecules and justified price increments where they are due. Pharmaceutical firms spend billions on research and development, and if there is no incentive because of stringent price regulation, innovation will suffer.

BRR: How important is research and development (R&D) for Pacific Pharmaceuticals?

 QI: R&D lies at the heart of Pacific Pharmaceuticals’ international vision and future business, and our goal is to be recognized first and foremost as “best in class” in drug discovery and development. We are committed to developing and bringing new and innovative drugs for the treatment of TB and other diseases.

Pacific’s scientific innovations are defined and supported by a highly professional R&D staff. Our discovery efforts that focused on antiviral development have resulted in significant accomplishments since 2000. We have advanced two compounds, viramidine and remofovir, into clinical development and created significant value for our company in the process.