Taro Pharmaceuticals Partners With Ontario To Double Production Capability At Brampton Facility
Taro Pharmaceuticals, which primarily manufactures and supplies prescription and over-the-counter topical medicines, is partnering with Ontario in order to double the production capability at its Brampton facility. The investment in new manufacturing and research and development equipment is expected to allow greater production, as well as create up to 140 new jobs at the facility. The expansion project will cost $247 million, with Ontario supplying $7 million. Expanding the Brampton facility will reduce other costs as well, such as supply chain and transportation charges, Area Development Online says.
Taro Pharmaceuticals is expanding the production capabilities of their facility in order to meet the growing demand for generic drugs, in addition to staying efficient in the face of increasing competition from other firms. By the year 2016, the global generic drug market is expected to grow to over $400 billion. Ontario has become an important hub for drug research and production, and Ontario’s life sciences sector generates $9.1 billion in revenue, with exports worth $5.2 billion. Companies such as Pfizer, Johnson & Johnson, Bayer, Roche, Sanofi, GSK, and AstraZeneca, all have research centers in Ontario.
Dr. Eric Hoskins, the Minister of Economic Development, Trade and Employment says Taro Pharmaceuticals deal will help to keep jobs in the province while increasing the company’s global competitiveness.
Daryl LeSueur, VP and Head of Operations for Taro, said that the company would have rather expanded the Brampton facility then build another one elsewhere. “The government’s support provides a great opportunity for the community and for our company. This will help us further increase our manufacturing capacity to supply our customers, and also anchor the facility in Ontario rather than elsewhere in the world. Our team looks forward to further expanding our line of high-quality products and reducing supply chain and transportation costs to stay competitive,” he said.