The 2009 Frost & Sullivan Award for Industry Innovation and Advancement is presented to LaGray Chemical Company in the Ghanaian Pharmaceutical Industry. LaGray Chemical Company is the first local Ghanaian company to manufacture Active Pharmaceutical Ingredients (APIs).
LaGray Chemical Company was established in 2001 and commercial production commenced in 2007 with a strong focus on pharmaceuticals for the treatment of endemic diseases. The company’s vertical strategy to fulfill in the complete value chain of pharmaceutical production (manufacturing APIs for the production of the complete products) has proven its innovativeness to grow in the Ghanaian Pharmaceutical Industry and to successfully expand in the remaining parts of West Africa.
Product and Process Innovation
Adhering to Good Manufacturing Practices, LaGray Chemical Company’s manufacturing capacity includes 10 metric tons of API, 8 million laminated aluminum tubes of dermatological products, and 300 million oral capsules per annum. With a few Ghanaian pharmaceutical manufacturers struggling to retool in order to achieve the World Health Organisation (WHO) pre-qualification, LaGray Chemical Company’s position is advancing above its competitors because their facilities and systems were designed toward that objective, right from inception. The company’s current products are filed in 15 sub-Saharan African countries. Upon qualification by the WHO or other stringent drug regulatory authority, the company will be allowed to take part in international tendering
The current product portfolio includes Azithromycin (production commenced in August 2008) and dermatologicals, anti-infectives, and anti-hypertensives. Furthermore, the company has anti-retrovirals and anti-malarials, anti-infectives, and antihypertensives in the pipeline for the third quarter of 2009.
LaGray Chemical Company strives to become an affordable pharmaceutical manufacturer that would not only supply drugs but also diagnostics and vaccines in future. It strengthened its position strategically by entering a technology transfer agreement with a company from India in 2007; this agreement allowed the company
access synthetic intermediates used during the production of active pharmaceutical ingredients.
Pharmaceutical Industry: Factors Leading to LaGray Chemical Company’s Innovative Position in the Pharmaceutical Industry (Ghana), 2009
Addressing the Needs of the Market
Apart from the key disease burdens in Ghana and the remaining countries of the sub-region, west-Africa has various priority endemic diseases (PED) that are currently not optimally addressed due to lack of treatment products in most instances. Ghana’s OTC market and growing herbal medicine market has products and active ingredients that can potentially address these diseases. However, the herbal medicine market has not yet taken off and currently, prescription medicine for the treatment of these diseases is in high demand. With the PEDs a focus for the Ghanaian government, LaGray Chemical Company is using this demand as a key opportunity for growth and expansion.
Conclusion
LaGray Chemical Company is still in its early growth phase but is considered to be the most innovative local manufacturing company, participating in Ghana’s pharmaceutical industry. With the company only starting its endeavour, it is expected that it will continue to increase its market presence through the continuous production of quality pharmaceutical products that address the needs of the market.
hese cumulative factors make LaGray Chemical Company the deserving recipient of the 2009 Frost & Sullivan Industry Innovation and Advancement Award in the Ghanaian Pharmaceutical Industry.
Award Description
The Frost & Sullivan Award for Industry Innovation & Advancement is bestowed upon the company that has proven to be a leader in the industry and that, through its pioneering technology, sound business strategy, and research efforts, has been successful in moving the state of the industry forward. Its excellence in the field has extended beyond its technical advancements and encompasses a comprehensive view of market participants, resulting in an ongoing improvement in the industry over time. This Award recognizes the company for its broader, more comprehensive participation in the industry and for its contributions to the advancement of the market.
Research Methodology
To choose the recipient of this Award, the analyst team tracks emerging and existing markets and evaluates the contributions of industry participants. This is accomplished through interviews with major market participants and extensive secondary research. Industry contributions that are considered are elements such as the creation of new industry standards and the adoption of a product or process by leading manufacturers. Finally, competitors are compared and ranked for relative position. Frost & Sullivan then presents the Award to the company that has most altered the industry due to its creativeness and innovation.
Measurement Criteria
In addition to the methodology described above, specific criteria are used to determine the final rankings of industry competitors. The recipient of the Award has excelled based on one or more of the following:
•Technology innovation contrasted against competitors
•New product/process introduction
•Adoption of the technology/process by the leading market participants
•Advancement of the industry through research
•Ability to conceptualize industry activities while successfully addressing customer needs
About Best Practices
Frost & Sullivan Best Practices Awards recognize companies in a variety of regional and global markets for demonstrating outstanding achievement and superior performance in areas such as leadership, technological innovation, customer service, and strategic product development. Industry analysts compare market participants and measure performance through in-depth interviews, analysis, and extensive secondary research in order to identify best practices in the industry.
About Frost & Sullivan
Frost & Sullivan, the Growth Consulting Company, partners with clients to accelerate their growth. The company's Growth Partnership Services, Growth Consulting and Career Best Practices empower clients to create a growth focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents. For more information about Frost & Sullivan’s Growth Partnerships, visit http://www.frost.com.www.awards.frost.com

• IRG: M372-54
• Industry Manager: Peter Breitenbach
• Senior Analyst: Lizelle Wentzel