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On October 24, the Swiss pharmaceutical giant F. Hoffmann-La Roche Ltd., in partnership with Nobel Almaty Pharmaceutical Factory JSC, launched the production of innovative drugs in Almaty. The project followed an agreement between Roche, Kazakhstan’s SK-Pharmacy LLP, Nobel, and the Kazakh Research Institute of Oncology and Radiology, with the support of National Company Kazakh Invest. Under the agreement, Roche committed to establishing local production of three biotechnological drugs for the treatment of HER2-positive breast cancer, an aggressive form of the disease that affects up to 20% of breast cancer patients in Kazakhstan. At the opening ceremony, Kazakhstan's Minister of Health, Akmaral Alnazarova, said: "The localization [of production] of oncological drugs by a global leader like Roche is a huge step forward for our country. This project will provide patients access to advanced treatments and significantly contribute to developing Kazakhstan's healthcare infrastructure.” The transfer of Roche's advanced technologies and production capabilities to local partners will reduce healthcare system costs in Kazakhstan and significantly expand patient access to essential medicines. Around 5,000 new cases of breast cancer are registered in the country annually, with approximately 1,200 resulting in death. This project is expected to increase the number of patients receiving therapy to 1,335 by 2026. The project is part of Kazakhstan’s plan to increase the share of domestically produced medicines and medical devices to 50%.
On August 7, a joint business forum was held in Astana with more than 300 representatives from business circles of Uzbekistan and Kazakhstan in attendance. At the forum, joint projects involving automotive engineering, electrical engineering, pharmaceuticals, the chemical and logistics industries were discussed, and a set of agreements with a total value of $5 billion were adopted, according to the Agency for the Development of the Pharmaceutical Network. A memorandum of understanding was signed between Kazakhstan’s JV KAZ AMT and Uzbekistan’s Estess Atraumatic Sterile Surgical Threads LLC, Kazakhstan’s Dolche LLC and Uzbekistan’s Medproject Technology LLC. The President of the Republic of Uzbekistan, Shavkat Mirziyoyev, arrived in Astana on August 7 at the invitation of the President of Kazakhstan. Within the framework of the visit, Mirziyoyev will participate in the consultative meeting of the leaders of the Central Asian countries and the dialogue in the format Central Asia + Japan. President Mirziyoyev signed the decision to establish a free economic zone of the Central Asia International Industrial Cooperation Center on August 6. The zone will be organized in the Syr Darya region. Industrial cooperation will be expanded by involving enterprises in the production process in the center's territory and establishing the production of import-substituting products. Only products manufactured in Uzbekistan and Kazakhstan are sold in the center's territory under the control of a production certificate. According to the decision, Kazakhstani and foreign citizens can enter the center's territory without a visa through a special checkpoint with an identity document, and stay in the territory for 15 days.
Kazakh Invest has reported that the opening ceremony of the Astana Genetic Center laboratory of the Chinese company BGI Group took place in Kazakhstan’s capital, Astana, on July 19. BGI Group, a world leader in genome research of living organisms, has over a hundred joint laboratories, medical centers, and production facilities in more than 30 countries. The opening ceremony was attended by Yin Ye, CEO of BGI Group; Kunsulu Zakariya, Advisor to the President of Kazakhstan on Science and Innovation; Akmaral Alnazarova, Kazakhstan’s Minister of Health; and Saule Sabyr, First Secretary of the Investment Committee of the Kazakh Ministry of Foreign Affairs. BGI Group opened the laboratory jointly with a local partner, scientific and production company BIOGEN Technopark LLP. The laboratory will conduct various molecular genetic tests related to reproductive health and diagnosis of hereditary and oncological diseases. The Astana Genetic Center is the only full-cycle laboratory in Kazakhstan capable of conducting all stages of genetic research without taking biomaterial abroad.
The launch of USAID’s Diversifying Asia’s Pharmaceutical Supply Chain project was attended by U.S. Ambassador to Uzbekistan Jonathan Henick and representatives of the country’s Ministry of Health and Agency for Development of the Pharmaceutical Industry. Running for two years and costing US $2.5 million, the project aims to strengthen local pharmaceutical regulation, enhance local technology and workforce skills, and attract investment in the industry. It will also ensure that medicines produced in Uzbekistan meet both national and international quality standards. Speaking at the launch, Henick stated, “Through our partnership, we will improve the health of the people of Uzbekistan while also improving the strength and responsiveness of the public and private pharmaceutical sectors. By aligning with global standards, we not only protect patients but also boost trust in local medicines, pharmaceutical companies, pharmacists, and the healthcare system as a whole.” A key objective of the project is promoting domestic production of medicines to boost the sector's contribution to the nation’s economic growth. Despite being Central Asia’s largest pharmaceutical supplier, with over 220 private manufacturers, Uzbekistan still relies heavily on imported medicines and raw materials. To address this issue, the Government of Uzbekistan offers various means of support and incentives for local manufacturers including import substitution and robust quality control regulations. Uzbekistan currently produces around 45% of the country’s medicines, a figure which the government aims to increase to 80% by 2026.
Uzbekistan President Shavkat Mirziyoyev called a government meeting on 23 May to review plans for the country’s pharmaceutical industry. On 10 January, a road map for 2024–2025 was approved for the development of the pharmaceutical industry and the acceleration of related investment projects. This was followed by a presidential decree of 23 January which identified additional measures required to regulate the pharmaceutical sector. To date, a budget of $100 million has been allocated for the realization of new projects in the industry, boosted by an injection of $200 million from Asakabank. As a result, two projects worth $30.5 million have been launched over the past four months, with exports totalling $51 million. However, a lot of potential remains untapped. To redress the balance, plans are now underway to produce pharmaceutical products worth $400 million and increase the exports to $200 million. A total of 147 projects worth $2 billion will be launched this year alongside the commission of a further 28. The head of state emphasized the need to increase the level of domestically produced medicines available in Uzbekistan and to ensure a balance between price and quality. The meeting also reviewed measures to intensify the work of the innovative pharmaceutical cluster, Tashkent Pharma Park, by launching 12 projects worth $470 million.
From 1 July 1, 2024, in an effort to rid the country of counterfeit drugs flooding the local market, labeling of all medicines in Kazakhstan will become mandatory. According to the World Health Organization (WHO), every tenth package of medicines distributed in developing countries is counterfeit, and in Kazakhstan, exceeds 10% of the volume of imported medicines. This is not only an economic issue, but one that poses a direct threat to people's lives and the health of the nation. Under the new initiative, all drugs will be assigned an electronic passport detailing both its source and path to the consumer. The Ministry of Health of the Republic of Kazakhstan stated that the key aim of the project is to eradicate illegal trade in medicines, including those used within the state's medical programs and mandatory social health insurance. Confident that mandatory labeling will prove effective in dealing with gray imports in the pharmaceutical market, economist Andrei Chebotarev remarked, "When the manufacturer's goods are labeled, you can trace their route all the way to your home medicine cabinet. Everyone will know, for example, where the pills were produced and how they were imported into the country. At present, there is no guarantee that goods are genuine. Where was this medicine produced? In India, in Germany? It is almost impossible to check the source." In short, he continued, labeling is the surest way of "letting the cat out of the bag." Another positive impact of the introduction of labeling concerns an increase in tax revenues and customs duties. Pharmacies in Kazakhstan already sell drugs labeled with the DataMatrix code. Specialists believe that the pharmaceutical industry is ready to exit the shadow turnover. During the first two months of 2024, almost 5,000 tons of various drugs worth $275.7 million, were imported by Kazakhstan.
