GSK to build $190m vaccine plant in Singapore
GlaxoSmithKline (GSK) has decided to build a new vaccine
manufacturing plant in Singapore, as several products in its
pipeline approach commercialisation.
The site will be GSK's first vaccine plant in Asia and will primarily make bulk bacterial pediatric vaccines for certain types of pneumonia and influenza responsible for serious illness among children globally.
The investment is of strategic importance for Europe's largest drugmaker who, over the next five years, plans to spend $2.5bn (€2bn) in vaccine development and launch five new vaccines, including those that target gastroenteritis and a flu vaccine for the elderly.
The British company, who in 2005 distributed more than 1.2bn doses of vaccines to 165 countries, is looking to diversify its vaccine production, which is currently located mostly in Belgium.
The new plant, which will serve Europe and the US among several markets, is expected to be operational in 2010 and employ more than 200 staff, bringing the company's overall investment in Singapore to more than $1bn.
GSK intends to boost its employees' skills by sending key personnel for training in its manufacturing plants in Belgium, Germany and Hungary.
The site will include production facilities as well as support buildings such as administration offices, meeting rooms, quality control laboratories, power plants and a warehouse, while it is designed to allow for future expansion.
GSK already makes nine active pharmaceutical ingredients (APIs) for primary and antibiotics supply in Singapore, employing 800 people in manufacturing, and also has plans to build a new research and development pilot plant at its Global Manufacturing Supply site in Jurong.
"We are excited about building these new vaccine manufacturing facilities in Singapore," said Jean Stephenne, President of GSK Biologicals.
"The Singapore primary production site will complement GSK's global vaccine manufacturing network to ensure the delivery of GSK's broad pipeline of novel vaccines."
The company cited Singapore's qualified skilled workforce, its economic stability and government incentives as reasons for the site's selection, which will occupy 85,000 square metres of land in Tuas Biomedical Park.
Indeed, Singapore's government has thrown hundreds of millions of dollars at its biotechnology industry, and with great results; six of the top ten pharma companies, including Pfizer and Merck, now have a presence in the country, making up about 5 per cent of the nation's $118bn economy.
Pharmaceuticals account for more than 16 per cent of Singapore's manufacturing output and the country aims to increase its biomedical sciences sector to an annual amount of $15.6bn by 2015.
Singapore is also a pioneer in conducting clinical trials of vaccines, such as one against the rotavirus, which is the most common cause of severe diarrhoea among children.
Nevertheless, GSK's vaccine production plant is the first for Singapore, despite fears of a bird flu pandemic in Asia.
GSK has been active in Singapore since the early 1970s and has said the latest investment may be followed by further expansion.
