Pharma firm Kilitch Drugs India has formed a joint venture in Ethiopia with a local partner there to set up a manufacturing plant in the African country.
“The company has formed a joint venture in the Republic of Ethiopia with a local party therein to set up a pharmaceutical/nutraceutical manufacturing unit,” Kilitch Drugs said in a filing to the Bombay Stock Exchange. It, however, did not provide the name of the company with which it has formed the JV. “The company (Kilitch Drugs India) shall be a partner to the tune of 97% and the Ethiopian partner shall hold remaining 3% in the said joint venture,” it added.
Kilitch is one of the manufacturers of Antibacterial Parenteral formulations. It is also one of the producers of Sterile Liquid formulations in small volumes in India and 25 years of quality contract manufacturing service to reputed national and multinational pharmaceutical companies. Our sound knowledge for the industry has resulted in the growth of the organizations along with us as a leading contract manufacturing company in the country.
Ethiopia, officially known as the Federal Democratic Republic of Ethiopia, is a country located in the Horn of Africa. With over 100 million inhabitants, Ethiopia is the most populous landlocked country in the world, as well as the second-most populous nation on the African continent after Nigeria. It occupies a total area of 1,100,000 square km (420,000 sq mi), and its capital and largest city is Addis Ababa.
The International Monetary Fund (IMF) ranks Ethiopia as among the five fastest growing economies in the world. After a decade of continuous expansion (during which real GDP growth averaged 10.8% per annum), in 2013/14 the economy grew for its 11th consecutive year posting 10.3% growth. Over the 12 months from July 2013 (the country’s fiscal year runs from July-July), all of the economy’s main sectors performed well. Agriculture (which represents 40.2% of GDP) grew by 5.4%, industry (14% of GDP) expanded by 21.2% and services (46.2% of GDP) rose by 11.9%.
Merchandise exports expanded in value by 5.6% in 2013/14, to reach USD 3.25 billion, although their GDP share decreased from 6.5% to 5.9% year on year. Imports, mainly from Europe and Asia, rose from USD 11.5 billion in 2012/13 to USD 13.7 billion in 2013/14, causing the trade deficit to deteriorate (from USD 8.4 billion to USD 10.5 billion). The effect on the overall balance of payments however remains contained, with the deficit down to USD 91.5 million in 2013/14 from minus USD 6.5 million the previous year, mainly due to a good performance in other accounts (non-factor services, private transfers and a surplus in the capital account).