PEZA, FDA team up to boost pharma manufacturing at Victoria Industrial Park

On September 25, 2024, Philippine Economic Zone Authority (PEZA) Director General Tereso O. Panga and Food and Drug Administration (FDA) Director General Dr. Samuel Zacate conducted an ocular visit to the Victoria Industrial Park (VIP) in Tarlac. They were welcomed by Tarlac Representative Hon. Christian Tell Yap, Municipal Councilor Jaedee Rigor Viernes, and VIPI Corporate Secretary Melissa Yap, as they explored the expansive land of VIP Phase I in Barangay Baculong.

The FDA has earmarked the site for a satellite laboratory, which is currently under construction. This initiative aims to provide a "green lane" for pharmaceutical manufacturing in the region and to cultivate a robust supply chain ecosystem for pharmaceutical products and medical devices. During their visit, Melissa Yap, CEO of Greenstone Pharmaceutical HK Inc., which manufactures Katinko products in the Philippines, led the PEZA and FDA delegation on a tour of one of her company’s factories. She showcased the expanded product lines and discussed the strategic vision for the company's future operations.

The visit aligns with a memorandum of agreement (MOA) signed by PEZA and FDA on July 31, 2024, which facilitates collaboration in creating guidelines for registering pharmaceutical ecozones. This partnership aims to enhance the regulatory environment for PEZA-registered companies involved in the local production of pharmaceuticals and medical devices.

Following the site visit, DG Panga hosted a meeting on September 26, 2024, with representatives from Aurobindo Pharma Limited, including Chief Business Officer Ravikiran Namburi, Senior Vice President Debashis Sarkar, and General Manager Aravind Babu, at the PEZA Head Office. This marked Aurobindo’s first visit to the Philippines and followed their prior meeting with PEZA in India in July 2024, aimed at attracting pharmaceutical investors interested in establishing manufacturing operations in the Philippines to meet local and regional demand while reducing reliance on imported medicines.

“Our collaboration with the FDA, under DG Zacate’s leadership, enhances our one-stop-shop services within PEZA ecozones, enabling us to welcome and facilitate investments in this sector,” stated DG Panga. He highlighted the importance of prompt issuance of FDA-related permits through electronic and green lane facilities, as well as the establishment of the first satellite laboratory at VIP, showcasing the FDA’s commitment to the growth of the pharmaceutical sector.

As of now, PEZA has 27 registered companies involved in pharmaceutical and medical device manufacturing, with many more anticipated as the agency continues to develop the 30-hectare industrial hub in Victoria. This initiative aims to establish the country’s first pharmaceutical economic zone, fostering growth and innovation within the sector and positioning the Philippines as a key player in the industry.

PEZA credits the Office of the Special Assistant to the President for Investment and Economic Affairs (OSAPIEA), led by Secretary Frederick D. Go, for guiding the establishment of pharma ecozones and ensuring government support for new investors. Through a whole-of-government approach, OSAPIEA collaborates closely with PEZA to address regulatory roadblocks.

DG Panga expressed optimism about the future, stating, “To effectively execute the President’s call to bring down the cost of medicine through pharmaceutical ecozones, we first work to develop the supply chain locally by targeting pharma foreign direct investment (FDI). We are confident in our ability to achieve this goal with the support of reliable government partners like the FDA and a more competitive fiscal regime to be granted soon by the CREATE MORE bill, once enacted into law.”