Mitsui Sets Up Hong Kong Pharma Unit

Japanese firm Mitsui has established a Hong Kong-based joint venture forselling pharmaceuticals in China. Company officials, reported in the Nikkei Weekly, who see China as a promising prospect given its lack of drug marketing channels, have said the drugs to be sold in China will be made by Japanese, US and European companies.

The Nikkei Weekly notes that analysts value the drug market in China at around $8.3 billion at present and say it is growing at around 20% a year. Sales of the new JV are projected at some 500 million yen ($4 million) in the first year, rising to 2 billion yen in five years time. Mitsui and a Hong Kong drug marketing firm will each hold 40% of the 120 million yen-capitalized JV, with the balance going to a Chinese state-run company.