Dhaka, July 27 – GlaxoSmithKline (GSK), a United Kingdom-based pharmaceutical giant has proposed the closure of its ‘commercially unstable’ pharmaceutical business in Bangladesh. Md Azizul Haque, Chairman of the Board of Directors of GSK Bangladesh Friday said at a press conference that “this was a difficult decision” but the GSK board had to take it as running its pharmaceutical business here is no longer “commercially viable.”
The press conference held at a city hotel was also attended by GSK Bangladesh MD Nakibur Rahman.
Haque said the closure of GSK’s pharmaceutical wing does not mean the end of operation of this British entity which has the presence in the country for the last six decades.
“Our consumer healthcare wing will carry on its operation,” said Haque. Products from its consumer healthcare unit like Horlicks, Sensodyne and Glaxose-D make a healthy profit from this segment.
When asked why the board has taken the decision of closing down it pharmaceutical wing, Haque who was also a former MD of the same company said its pharmaceutical wing was dragging down the overall profit, a large chunk of which has been made by its consumer healthcare wing.
“Bangladesh has a very promising and growing pharmaceutical market. We felt that the product portfolio we have is not good enough to run our business viably in this competitive market,” he said.
During the press conference, Nakibur Rahman said Bangladesh has a very vibrant and strong local pharmaceutical industry. “All of our medicines are substitutable with generics and therefore patients should be able to access a range of suitable alternatives.”
Rahman informed that GSK Vaccines, which are purchased via the UNICEF is funded by Gavi, the Vaccine Alliance will continue to be available in Bangladesh.
The GSK MD said the closure would affect around 1,000 people it employs at its factory in Fouzderhat of Chittagong but the company would not only provide them with the best possible financial severance package but also with counselling and advisory service during this transition period.
GSK set up its Bangladesh production facilities in 1963. It is a publicly traded company at the Dhaka Stock Exchange since 1976. – Staff Reporter
