ORGANON IN DISTRIBUTION DEALS WITH BRAZILIAN DRUGMAKERS

The Brazilian unit of Netherlands- and US-based drugmaker Organon has reportedly announced new product partnerships with local drugmakers Cristalia and EMS. The company has awarded the Brazilian marketing and distribution rights for its Esmeron muscle relaxant to Cristalia, which specialises in pain treatments as well as generic drugs. The agreement became effective on January 1.

Meanwhile, the country's third-largest drugmaker, EMS, is to assume similar marketing and distribution rights for Organon's contraceptive Novial, which is also indicated for moderate to severe acne. The deals indicate that, at a time when strong generic competition is impacting Organon's revenues, the company has chosen to exploit existing distribution channels established by local generic drugmakers in an effort to boost market share.

Brazilian drug imports appear to be increasing sharply, as the country's economy continues to recover from the recession of recent years. Statistics from the country's trade ministry indicate that pharmaceuticals imports were 56.3% higher year-on-year in the first two weeks of January 2005.