Lipha Has High Hopes For Chinese Market

French drug company Lipha, a subsidiary of Merck AG, has opened a new production plant in Lyon, which it says will help diversification in its markets, especially in its dealings with China.

Some months after opening an office in Beijing, the group has obtained marketing approval for its antidiabetes product Glucophage (metformin) in China. Lipha expects Chinese sales to reach 100 million francs ($19.5 million) within five years, given that an estimated 25 million people in China suffer from diabetes, with 13 million being treated at the present time.

In the initial phase, Lipha will import the drug into China, but the company's president, Jean-Noel Treilles, has said the aim is to set up a joint venture to produce the product, and talks are already underway with several potential partners.