PC Pharma Limited - Colombo Stock Exchange

3.5
pharmaceuticals covering a wide spectrum of pharmacological activity are imported by the
SPC.
The well-established island wide network of distribution of the SPC ensures that products
reach every part of the country. SPC has 18 Rajya Osu Salas, 36 Franchise Osu Salas, 48
Distributors and 20 Authorized Retailers spread throughout the country.
The Rajya Osu Salas and Franchise Osu Salas maintain the highest standards in pharmacy
and dispensing practice. The newly opened Quality Assurance Laboratory at the Head
Office carries out the quality testing of all the pharmaceuticals.
The SPC is the largest buying institution of Pharmaceutical and medical products in the
country. The purchasing is done locally or through global tenders.
The State Pharmaceutical and Manufacturing Corporation
SPMC is a subsidiary of SPC and operate a state of art 50,000 sq. ft. pharmaceutical
manufacturing facility. All products are produced exclusively for the SPC. The facility is
equipped with modern equipment with an annual installed capacity of 550 Mn. Units of
tablets, capsules and 60,000 liters of dry syrup. The present production utilizes installed
capacity by about 95% and is expected to increase further.
SPMC products are ‘braded generics’ and all tablets, capsules and labels carry the letter
SPMC.
Impact of the Economic Conditions
The pharmaceutical and healthcare industry has historically been relatively immune to
economic fluctuation, although at times of recessions the industry experiences the reduced
investments and research funding.
Over the years, the reliance of Sri Lankan pharmaceutical market on UK and USA gradually
transferred towards Asian countries such as India, Bangladesh, China and Korea. This
resulted in lower cost of the pharmaceuticals that are being imported and less exposure to
the volatilities of the economic crisis experienced in the west during the last few years.
Despite all other external factors Analysts and industry players remain optimistic about the
Sri Lankan market due to the expanded opportunities in the Northern and Eastern
Provinces and due to projected growth in therapeutics and nutraceuticals.
Continued increase in government expenditure will result in an increase in growth of the
healthcare industry allowing pharmaceutical companies access to new geographical areas.
Due to the insufficient capacity of public healthcare system the private healthcare market
has been experiencing a rapid growth in the recent past with some companies growing by
more than 25% YOY according to the latest annual reports.
12 Introductory Document – PC Pharma Limited