“Olainfarm” to supply anti – tuberculosis medicines worth 974 000 lats (1 386 000 Euro) to Kazakhstan.

29/01/2007

JSC „Olainfarm” has been awarded a contract to supply an anti-tuberculosis medication “PASA – sodium salt” for government reserves of Kazakhstan.  The deal is worth 974 000 lats (1.38 million Euro) which so far is the biggest single sale of this product.


 

The company started production of „PASA sodium salt“ in 2001 and has since supplied it according to governmental purchases to specialized clinical centres in Latvia, Lithuania, Estonia, Ukraine and Belarus.  „PASA sodium salt“ has been registered in Kazakhstan in 2006 and thus JSC „Olainfarm“ was allowed to participate in a bidding process.

 

“We are pleased to see that our investments in development of new products in new production facilities and in general modernization, that over the period of last five years have reached nearly 13 million lats, are showing so good returns.  I think that in our business one of the highest  appreciations if when your company is trusted not only by individual buyers, but by whole countries as well“ Ms. Jelena Borcova, Deputy Chairman of the Board, Director of Department for Development of Production of Medicines, admits.

 

JSC “Olainfarm” currently is the only producer of „PASA sodium salt“ in Europe, offering this medicine in a very easy-to-use form of powder for internal use. “PASA sodium salt“ (paraaminosalicic acid) is an anti-tuberculosis medicine with a bacteriostatic effect against mycobacterium of tuberculosis. In combination with other anti-tuberculosis medications it is being used to treat tuberculosis of different forms and localisations in cases, when traditional medicines fail to show effect.

 

Sale of „PASA sodium salt“ in 2006 was 620 720 lats (883 205 Euro). JSC „Olainfarm“ plans, that in addition to the Kazakh delivery, PASA sodium salt will be also delivered to other countries in total for at least 280 000 lats (400 000 Euro) thus at least doubling its sales compared to 2006.

 

In order to facilitate the sales of this promising product currently negotiations are underway between JSC „Olainfarm“  and the World Health Organization (WHO) regarding registration of the product by the WHO to include it into WHO’s programmes for countries with tuberculosis problems.  This would allow the company to sell this medicine to countries covered by WHO’s program without additional registration.

 

Olainfarm participates in Latvian Tuberculosis Programme since 2000 and as a part of it supplies its products of „PASA sodium salt“ „Amiobutol“, „Protinol“, „Pyrazinamide“ and „Ofloxacine“.

 

Olaine, January 25th, 2007

 

Prepared by

Salvis Lapinsh

Deputy CFO

JSC Olainfarm

Mobile. +37126448873

E-mail: slapinsh@olainfarm.lv