Encap specializes in filling two-piece solid and semi solid liquid capsules, which it says is one of the fastest growing sectors of the market, increasing at a rate of 30 per cent a year.
The firm’s plant, which is located in Livingston, Scotland, already produces a range of pharmaceutical products based on its oral drug delivery technology for pharmaceutical and biotechnology firms and academic institutions.
The expansion, which will double production capacity when it becomes fully operational in November, is designed to serve pharmaceutical companies developing highly potent drugs, particularly the new generation of oral anti-cancer agents.
Encap sales director Robbie Stewart told in-PharmaTechnologist.com that the move “was driven by demand from our existing and potential clients. We have a number of clients for whom we have manufactured products required for their clinical development programme who intend to move to full scale commercial launch in the next couple of years.
“It is also widely accepted in the industry that there is a lack of high potency manufacturing capacity available for pharmaceutical companies even though many companies are increasing the number of high potent or cytotoxic products being developed. It is estimated that 25% of all NCE are anti-cancer treatments which often require high containment manufacturing,” added Stewart.
Demand still outstrips production capacity
An increasing number of contract manufacturing organisations (CMOs) and chemicals firms are installing high potency drug handling capacity, notably major players like SAFC and Pharmatek which have recently unveiled new purpose built facilities.
In addition, CMO giant Patheon has announced plans to invest around $3m to add a dedicated high-potency manufacturing unit at its facility in Manati, Puerto Rico, significantly boosting its contract production capacity.
Despite this, the anticipated demand for high potency drugs such as those used to treat cancer for example, sales of which are expected to grow between 12 and 15 per cent to 2012 according to IMS health, suggest that there is still room in the market for smaller operations.
Stewart commented that: ”Setting up internal high potency facilities is expensive and usually needs to be situated separately from other manufacturing areas. Apart from the largest pharmaceutical companies or those that have a sufficiently large volume of highly potent or cytotoxic products to warrant such a facility, companies will look to outsource this type of manufacturing.”