Bajaj Healthcare Limited (BHL) announced on Wednesday that it would foray into the highly regulated opiate processing business on behalf of the Indian government. He said he was the first private player to win a tender for opiate treatment, which was a highly regulated and government-owned business. He further added that the government had for the first time deregulated the treatment of opiates to a private actor.
The company said this will open up a new revenue stream that has immense growth potential, as Bajaj Healthcare is currently the only player for long-term government-allocated opiate treatment.
BHL, which manufactures APIs, intermediates and formulations, won two tenders for the manufacture of “Concentrated Poppy Straw (CPS) and Alkaloids/Active Pharmaceutical Ingredients (APIs) from poppy capsules not launched with straw via CPS-Reg and opium gum,” he said.
He received two reward letters for making alkaloids and APIs from processing 500 tons of unlaunched poppy capsules and straw on an annual basis, and making alkaloids and APIs from processing of 100 tons of opium gum on an annual basis.
The company said it would execute these tenders at its API manufacturing unit in Savli, Gujarat under strict protocols prescribed by the governments. He added that APIs and derived extracts are normally used in a wide range of pharmaceutical applications.
Anil Jain, co-CEO of Bajaj Healthcare, said: “We have won two tenders for the supply of opium-derived alkaloids and APIs to the Indian government under long-term contracts. and we expect successive orders under similar tenders to extend to processing ~6,000 tons of poppy straw and opium gum over the next 5 years.
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