Damien Carpanini. ©Gulf News
Pharmaceutical giant Glaxo-SmithKline has confirmed plans to set up a full-scale antibiotics plant in Algeria. The company's board has just approved the project, which is to be completed within 24 months, a senior official said. "We are continuing to make significant investments where required, and the project in Algeria attests to that commitment," said Damien Carpanini, the UK-based vice-president for human resources responsible for the Middle East and North Africa (Mena).

Glaxo-SmithKline also has manufacturing plants in Saudi Arabia, Egypt, Morocco and Turkey. The Mena territory is expected to contribute about £420 million to the company's £16 billion in revenues predicted this year.

Meanwhile, the merger is 90 per cent complete with the integration of GlaxoWellcome and SmithKline Beecham in Mena. Saudi Arabia is the only one left and it should be completed soon. "Within Mena the integration process was not terribly complex, being more of a sales and marketing operation. As for the manufacturing interests, there was not a lot of work involved and they continue as they are."

The process of formalising ties with distributors and partners is still in the very early stage, he added. "There are very specific rules and regulations to be adopted governing such alliances, particularly in the Middle East. This is a long-term process and we are not about to rush it through."

On the company's outlook for the region, Carpanini said: "The industry works on very specific periods for patent protection. We understand well that products have limited life cycles. So, the plan is to ensure the pipeline is well stocked with new products that can come in and fill the gaps where necessary."