– Joint ventures search for a breakthrough point of the economic crisis brought by the COVID-19 pandemic with localization strategy
– Daewoong Infion’s contribution towards the local pharmaceutical industry through technology transfer.. From the establishment of the first biopharmaceutical plant to stem cell COVID-19 treatment development research
The localization strategy of joint ventures to tackle the domestic economic crisis brought by the Coronavirus is drawing attention. The localization strategies of joint ventures are synergizing and creating LCR (Local Contents Requirement) policy to secure competitiveness in each industry.
Originally a policy for protecting the country’s industry, the securement of industry competitiveness through LCR is being supported by the government as a new strategy to boost the GDP forecast (-1.1% ~ +2.0) that has descended by the prolonged lockdown caused by COVID-19.
Daewoong Infion, a joint venture of Daewoong Pharmaceutical in Indonesia carrying out diverse activities for overcoming the COVID-19 crisis in Indonesia, claimed, “global corporations with technical competitive establishing joint ventures in Indonesia will be a great opportunity for both the local corporations and corporations advancing towards Indonesia.” They announced, “we will continue to strengthen our mutual growth model, as Indonesia will secure industry competitiveness based on advanced technology, and global corporations will be able to implement fast localization strategies.”
Daewoong Infion, the founder of Indonesia’s first biopharmaceutical plant,
From locally producing raw material medicine, EPO, to developing stem cell COVID-19 treatment
Daewoong Infion is a joint venture established in 2012 by Daewoong Pharmaceutical, a South Korean pharmaceutical company, and Infion, an Indonesian pharmaceutical company. Daewoong Infion opened Indonesia’s first biopharmaceutical plant in Surabaya and is carrying out biopharmaceutical research, development, and production in Indonesia with Daewoong Pharmaceutical’s outstanding biopharmaceutical technology transfer.
On the 13th, Daewoong Infion held a ‘kick-off meeting for the phase 1 clinical trial of Daewoong COVID-19 treatment utilizing stem cells’ with the Ministry of Health at the ‘RSUP Dr. Wahidin Sudirohusodo’ hospital, then began the full-fledged clinical trial process. The phase 1 clinical trial will be held under the purpose of testing its safety upon COVID-19 patients, and aims to complete the trial within 2020 and enter the phase 2 clinical trial during the first half of 2021.
Daewoong Infion’s treatment for dyspnea symptoms caused by COVID-19 utilizing mesenchymal stem cell, DW-MSC, has received the first clinical approval in Indonesia as a stem cell treatment.
Daewoong Infion’s ‘DW710’ is under development with the active cooperation of the Indonesian Ministry of Health.
DWP710 called for the signing of a strategic cooperation MOU regarding COVID-19 treatments between Daewoong Infion and Indonesian Ministry of Health in July, and was approved for phase 1 clinical trial in July, followed by the selection as Indonesian Ministry of Health’s new project on August 6th.
RSUP Dr. Wahidin Sudirohusodo hospital, where the clinical trials are held, has experience in implementing various global pharmaceutical clinical trials as a hospital specializing in COVID-19 treatment in Indonesia. In addition, Daewoong Infion supplied protective gear and clothing for the medical staff of the RSUP Dr. Wahidin Sudirohusodo hospital for the successful operation of the clinical trials, and made plans for further cooperation for the research and development of ‘Niclosamide’ and ‘Camostat,’ which are other candidate substances for COVID-19 treatment.
Chang-Woo Seo, the CEO of Daewoong Infion, said, “We thank the Indonesian government for their active cooperation for the development of COVID-19 treatment, and we hope this research could achieve good results and ultimately contribute as a treatment for overcoming COVID-19.”
COVID-19 treatment is not the only contribution towards the local pharmaceutical industry through technology transfer of Daewoong Infion. Daewoong Infion carries out a global production strategy through producing the undiluted ‘EPO’ solution in Indonesia and exporting it to Korea. Daewoong Infion produces the undiluted EPO solution and the finished product and sells the finished pharmaceutical product in Indonesia, whereas Daewoong Pharmaceutical imports the undiluted EPO solution from Indonesia to Korea to manufacture finished products. Daewoong Pharmaceutical’s EPO product is sold in Korea under the name “Eposis.” Daewoong Infion recorded 145 billion rupiahs worth of reverse export of undiluted EPO solution for three years, until the first half of 2020.
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Meanwhile, Daewoong Infion is fostering Indonesia as a mecca of biopharmaceuticals through open collaborations with local universities and research institutions in Indonesia, carrying out research for searching new bio medicines and clinical research on EPO (Product name: Epodion). In 2017, Daewoong Infion received ‘The Best Biopharmaceutical Company’ award by Indonesia’s Ministry of Food and Drug Safety (BPOM) as well as the Minister’s Award from Indonesia’s Minister of Health and Welfare in November of the same year.