Calls by pharmaceutical companies for a better mechanism allowing further expansion of the generic medicines industry are set to lead to an overhaul of the patents regulatory framework.
Parliament was last night expected to give the first reading of a Bill amending the Patents and Design Act of 2002.
The announcement was made by the Prime Minister when he inaugurated a new warehouse at the Actavis plant at Bulebel industrial zone in Żejtun.
The €13 million investment followed a rather turbulent period for the company in which about 60 employees were laid off as part of a restructuring programme. The decision followed the acquisition of the Actavis Group by US giant Watson Pharmaceuticals in November 2012.
Economy Minister Chris Cardona said the idea was to set up a tribunal whose remit would be to ensure that industry was benefiting from the patents regime. The government wanted to see the pharmaceutical sector flourish and so would introduce new principles in patents legislation.
Sergio Vella, president, manufacturing, operations, Western Europe, expressed his optimism that the company would be able to hit targets despite a very competitive market.
Referring to last year’s layoffs, he said it was “inevitable” that a rationalisation exercise had to be carried out following the acquisition.
“That is part of the economic rules which do not apply exclusively to Actavis but to every other company in business.”
Mr Vella said that, following the restructuring, the company had set its targets to be more competitive and he was satisfied that they were on track. The new warehouse was built to cater for the significant increase in manufacturing output from the site in Bulebel, where volume had trebled over the past seven years.
The facility covers an area of 4,800 square metres with about 7,500 pallet positions. It was designed to minimise the impact on the environment through using solar thermal energy and hot water, intelligent lighting and rain harvesting systems.
Established in Malta in 1976 as Pharmamed Ltd, the company employs over 750 people and runs a second manufacturing plant in Ħal Far, ArrowPharm Ltd.