Shijiazhuang (ANTARA News) - Two Indonesian pharmaceutical companies and a Chinese counterpart have signed an agreement here to ensure stability in antibiotics` supply and prices for the Indonesian market.
The two Indonesian companies were Kimia Farma and Indofarma, while the Chinese company was CSPC.
Kimia Farma Director M. Sjamsul Arifin, Indofarma President Director P. Sudibyo and CSPC executive Cai Dongchen signed the agreement in Shijiazhuang, Hebei Province, China on Tuesday.
Also present at the signing ceremony were Indonesian Ambassador to China Sudrajat, Deputy Mayor of Shijiazhuang Zhang Fawang and acting economic officer at the Indonesian Embassy in Beijing Iwan S. Amri.
"The cooperation is meant to ensure stability of supply and prices of antibiotics from the Chinese pharmaceutical company. We thus expect there will be no more antibiotics shortages in Indonesia in the next one year," Syamsul said.
He added his company had intentionally signed the agreement early this year as antibiotics production and prices were fluctuating and there was even a lack of supply so it would be risky if the agreement was not signed now.
Through the cooperation with the Chinese company, the two state companies would also be helping the government in its effort to keep supplying medicine to the people at stable prices.
He added the company had actually imported the raw material for the medicine but it was only a common trade, meaning if necessary it would import or buy.
"We will try to tie (the Chinese company) with the agreement on secure supply and price as the raw material for the medicine is badly needed to make generic medicines for low income people," he said.
He added based on the agreement the two state pharmaceutical companies would get the supply with the agreed price even though there was an increase in the market prices.
He added China was elected to supply the raw material as most of the countries, such as Europe and the United States, also import from China to meet their respective demand following the closure of the factory due to the environmental issue.
Sudrajat, meanwhile, said the agreement would be one of the instances of bilateral Indonesia-China cooperation which would be increased in the coming years, not only for buying raw material but also for inviting Chinese companies to cooperate with Indonesian pharmaceutical companies and invest in Indonesia.
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