Collaboration The key
for vibrant vaccine market in Asia
Successful partnerships with
vaccine manufacturers include three critical components. They are
industry experience, technical expertise and comprehensive training
As a major high-end supplier to the Asian vaccine market, Millipore has
played a major role in contributing to the growth of the market over
the past few years. Although the issues vary from country to country,
we see a number of common trends affecting vaccine manufacturers
throughout the region—and clear implications for suppliers
who want to compete successfully in this expanding and exciting
industry.
Industry Trends: Higher
volume, higher quality
The vaccine market in India is growing at 20 percent per year; and in
China, the growth is at 15 percent per year. Figures like these point
to sustained double-digit growth throughout the region, and signal
Asia’s rapid emergence as an important player in the $21
billion global vaccine market.
The major trend underlying this growth is the increased government
support in the form of investments to boost the vaccine
industry—particularly in China, India and Indonesia. This
increased spending is fueling industry expansion and with it, a new
focus on meeting international quality standards.
For example, to increase their market share, a growing number of
vaccine manufacturers in Asia are applying for the World
Health Organization (WHO) pre-qualification, signaling their
willingness to adopt more uniform quality standards in all phases of
vaccine production.
We see a similar trend towards higher quality manufacturing in the
pharmaceutical market, where a growing number of firms are focused on
meeting cGMP (current good manufacturing practice)
regulations—strict standards governing exports that are
enforced by regulatory agencies such as the Food and Drug
Administration (FDA). Although local enforcement varies from
country to country, many drug manufacturers in Asia have begun
following the same standards for both their domestic and export
markets.
In China, in the wake of international concern about the safety of food
and drug exports, stricter cGMP standards for APIs (active
pharmaceutical ingredients) will come into effect in January
2010. The new standards will expand requirements related to production
processes, quality control, validation documentation and personnel
qualifications.
An increased focus on global pandemic readiness in the face of the H1N1
threat is also accelerating the move to stricter compliance with
quality standards. Manufacturers are competing to produce an effective
vaccine in the quantities needed to meet the demands.
All these trends—combined with rising local health
standards and the expansion of multinational pharmaceutical firms into
Asia—have led to increased competition and a move to more
efficient, higher volume commercial vaccine production throughout the
region. Many older vaccine companies and academic labs, which for the
past 30 or 40 years have focused primarily on low-cost; and low-volume
products to meet local needs must now compete with larger firms, which
are looking to expand their customer base beyond their borders.
More important, from a high-end supplier’s perspective, these
trends have led to the demand for greater quality in vaccine
manufacturing. To compete in highly regulated markets and improve the
safety and purity of their products, many vaccine producers must make a
rapid transition to newer, and better production methods.
This transition is complex. The new regulatory environment has led some
manufacturers to opt for single-use disposable technologies, in order
to avoid the regulatory obstacles associated with the re-use of devices
and the high costs of capital equipment investments. It has also led to
increased industry consolidation, as firms look at new ways to afford
the higher costs of compliance.
Key to successful
partnership
Considering the growing competition and costs, heightened quality
expectations and stricter safety enforcement, vaccine manufacturers are
looking to their suppliers not only for higher quality products, but
for greater support and closer collaboration at every stage of
production. From Millipore’s perspective, successful
partnerships with vaccine manufacturers include three critical
components. They are industry experience, technical expertise and
comprehensive training.
There is no substitute for broad industry experience. Suppliers who can
bring to customers a global perspective, an understanding of best
practices and a breadth of knowledge based on a long-term investment in
the industry, are best equipped to help manufacturers gear up for the
future.
Technical expertise is probably the most critical requirement for
successful partnership—and also the most difficult for
suppliers to achieve and maintain. Vaccine manufacturing is a
complicated, demanding and expensive process. The production of
polysaccharide-conjugate vaccines for common childhood infectious
diseases such as pneumonia and meningitis, which are of high priority
for the WHO and is particularly complex and costly.
Suppliers must provide top-quality products for this complex
manufacturing environment, because second-rate products no longer meet
the strict standards for sterile manufacturing. But beyond
that, they must provide experts who understand technologies, products
and applications unique to the production of specific vaccines, as well
as the complex regulatory requirements involved at every stage of
production. These experts must work side by side
with scientists and technicians to develop, optimize and trouble-shoot
their production processes. There are no shortcuts to producing safe
and effective vaccines.
The third component of successful partnership—and probably
the most neglected by industry suppliers—is continuous and
comprehensive training. Suppliers must provide both formal classroom
training and hands-on coaching not only in the operation of their
products, but also in the principles of operation, so that users can
understand the products and the ways to trouble-shoot problems. To meet
the demands of the new regulatory environment, suppliers must also
offer documented training, partnering with local educational
institutions and government agencies.
Eye on the future
For suppliers who make a sustained and long-term commitment to the
Asian vaccine industry, the future is bright. Productive
partnerships between manufacturers and their suppliers will fuel
further industry growth as their technological expertise increases
through close collaboration with experts, manufacturers will be able to
produce new products to meet future demands.
When it has achieved the WHO’s current goal of addressing
common infectious diseases, the industry will be in a position to tap
its collective knowledge to produce advanced therapies for even more
complex diseases.
For Millipore, it is exciting to be part of this growth and to play a
vital role in this important market. Partnering with Asian vaccine
manufacturers is one of the ways we fulfill our corporate mission: to
collaborate with customers to confront the world’s
challenging human health issues.