Pfizer India plans to put three manufacturing units on block

Nisha Das
22 December 2003

Mumbai: Pfizer India, the Indian subsidiary of the US-based Pfizer Inc, has decided to put three of its manufacturing units on the block.

The company''s move is part of the ongoing operational integration of Pfizer India with the recently acquired Pharmacia Corporation''s Indian arms, Pharmacia Healthcare, Pharmacia India and Parke-Davis.

Pharmacia Corporation was globally acquired by Pfizer Inc, while Parke Davis''s parent Warner Lambert was merged with Pfizer in 2000. Pharmacia Corporation held a 75-per cent stake in its Indian arm, Pharmacia Healthcare (formerly Abbott), and Pharmacia India was a 100-per cent subsidiary of the US parent. The three plants put for sale are Pharmacia''s Ankeleshwar unit, Park-Davis''s manufacturing facility in Hyderabad and Pfizer''s Chandigarh plant.

A Pfizer India spokesperson says operations of all these plants are economically non-viable and the sale is a part of its ongoing restructuring exercise. "We have discontinued operations at Pharmacia''s unit at Ankeleshwar. The products that were manufactured at this unit may be shifted to company''s Thane facility or may be given out for third-party manufacturing."

Pfizer sources say a voluntary retirement scheme has been offered to its employees. The other manufacturing unit of Pharmacia in Bangalore, which manufactures intra-ocular lenses, will be retained. Pfizer will, consequently, consolidate its manufacturing operations in its Thane facility near Mumbai. It has invested around Rs 13.6 crore to upgrade the facility.

The sources say Pfizer India plans to suspend operations at its Chandigarh plant by February 2004. The company has applied to the Maharashtra government stating its intention to discontinue the bulk drugs manufacturing at the Chandigarh facility. The company has another manufacturing unit of Pharmacia in Bangalore, which manufactures intra-ocular lenses.