Maypharm’s innovative strategy targets challenging markets using custom business frameworks, setting it apart amid a crowded and regulated industry. The focus is on niche, region-targeted items like Metamizole, as well as intricate injectables, pioneering generics, and advanced drug delivery systems, establishing a strong and diversified portfolio.
In an exclusive discussion with Shardul Nautiyal, President Sameer Kolhe of Maypharm elaborates on the company’s ambitious plans for growth throughout Latin America and beyond. Positioned solidly in Brazil and Mexico—which together account for more than 65% of Latin America’s pharmaceutical sector—Maypharm now aims to broaden its reach to include Peru, Colombia, and other strategic Central and South American areas.
Foreseeing industry shifts, Kolhe notes two significant trends: a move towards emerging markets and prospective regulatory adjustments, which may lower obstacles yet raise competition. To remain competitive, Maypharm is heavily investing in technology-focused products and digital advancement, using sophisticated project management tools and data-driven decision-making.
Kolhe also unveils strategies for selective acquisitions, including partnerships in Brazil and Mexico to enhance the company’s structure and distribution frameworks. By concentrating on talent growth and innovation, Maypharm’s vision is to rank among the top five Indian pharmaceutical firms in Latin America within the next 5-7 years, enhancing its presence in Mexico through a motivated sales force. Excerpts:
Maypharm has a robust base in Brazil and Mexico. What are the future plans for exploring additional countries?
Maypharm’s approach capitalizes on high-barrier segments, leading us to focus initially on Brazil and Mexico. These markets collectively represent over 65% of Latin America’s pharmaceutical market. This strategy has allowed us to lead in these complex environments—not merely by gaining product registration but by developing impactful post-registration business models enhancing the entire supply chain.
We are now looking to grow in Peru, Colombia, and other regions of Central and South America, and the Caribbean. Keeping in mind our commitment to adapting business models to each market, we aim for measured, sustainable growth. One of our central objectives is to secure a formidable commercial standing with dedicated sales teams where necessary.”
Being relatively new within a highly controlled sector, what challenges have been predominant? How have you addressed them?
One key difficulty for Maypharm has been navigating heavily regulated environments. Unlike larger markets led by multinationals, Latin America primarily sees dominance by local pharmaceutical leaders, demanding strategic selection of market segments, product offerings, and business models.
We’ve worked diligently to set ourselves apart by fashioning business arrangements compatible with these challenges. Our focus on exclusivity, a distinct portfolio, and B2B and B2C strategies grants us a competitive advantage. By learning from others’ setbacks, we’ve designed a model integral to our current positioning and triumph.
What emerging trends in the pharmaceutical realm are expected to profoundly influence Maypharm’s operations in the upcoming decade?
Shift in markets: As expansion slows in traditional markets like the US and Europe, unexplored markets such as Brazil, Mexico, and Russia present attractive prospects. This shift offers significant opportunities for businesses armed with specialized technical innovation.
Regulatory developments: Potential standardization of regulations across regions could modify market dynamics. A decrease in entry hurdles could boost competition, possibly driving costs down. To adapt, Maypharm is channeling investments into tech-oriented goods, combination products, first-time generics, and distinctive drug delivery systems. These initiatives will help sustain our niche market leadership.
As expansion is sought, are any emerging partnerships or acquisitions being pursued? What criteria are used in evaluating these prospects?
Our acquisition focus lies mainly in developing infrastructure—such as labs—and forming solid distributor partnerships, particularly within Brazil and Mexico. This will augment our physical presence and enhance market service.
While not aggressively pursuing manufacturing buyouts, potential investments in Indian Greenfield R&D sites could support our development endeavors, especially in pre-formulation and novel drug delivery requirements. Furthermore, the consumer products domain holds considerable promise, particularly where innovation enhances compliance and boosts life quality.
How is Maypharm expanding its product lineup? Are any specific therapeutic sectors of particular interest?
We are broadening our offerings in:
Region-aligned products: Targeting products distinctive to Latin America, such as Metamizole, an anti-inflammatory popular in the region yet banned in India and rare in the US and Europe.
Intricate injectables: Given the regulatory challenges in Latin America, investments are steered towards complex injectables, areas lacking local research and development.
Groundbreaking products: Focusing on first-in-market items, first-time generics, and unusual drug delivery mechanisms for differentiation.
Innovative consumer products (OTC): With great potential, this space offers opportunities as new non-prescription items can be more readily marketed. However, the regulatory landscape’s complexity presents both a challenge and a chance to stand out.
In what ways does digital transformation contribute to your growth framework, internally and regarding services to clients?
Digital transformation underpins our growth strategy, notably in engagements with our B2B customers. Digital tools are being leveraged to enhance project management, improve client service, and draw insightful data analytics. By supplying real-time project insights and utilizing data-backed decisions, we fortify operational efficiency and strengthen our market stance.
Over the coming decade, what is the vision for Maypharm’s development? How will talent growth be fostered to meet these aspirations?
Setting a decade-long vision feels ambitious yet precarious in our rapidly evolving climate, so a 5 to 7-year horizon is considered more pragmatic yet challenging. Our ambition is to become one of the foremost five Indian pharmaceutical organizations in Latin America, establishing firm ground in Brazil and Mexico with dedicated sales teams and locally branded offerings.
Our success depends on cultivating and retaining exceptional talent. We are dedicated to investing in young individuals, facilitating their development and fostering innovation. By creating a culture ripe with enthusiasm and creativity, we aim to forge a resilient, adaptable team supporting our long-range objectives.