Ireland comes calling from Brand India Pharma
March 5, 2015: Ireland is planning to attract more Indian pharmaceutical companies to set up manufacturing plants in the foreign country by offering tax incentives to the Indian industry. In fact, the country has already been able to convince few Indian companies to set up plants in Ireland.
It may be noted here that Ireland has emerged as the world's largest net exporter of medicines worth 55 billion euros and Indian companies like Ranbaxy, Wockhardt and Reliance Life Sciences already have a base in the European country. In fact, the island nation currently boasts of hosting plants of eight out of 10 top global drug companies including Pfizer.
Factors like low cost of real estate and living and lowest corporate tax rates in Europe are some of the incentives that work in favour of Ireland as compared to the other European nations. A delegation of representatives from the Investment and Development Agency (IDA) from Ireland recently visited Hyderabad to explore more opportunities. The country plans to attract more Indian companies to Ireland, especially keeping in mind the R&D and API process technologies strengths of the European nation.
The country has already attracted six investments from India last year and expecting at least eight investments this year. In the last three years, the country has managed to attract US$ 3 billion of foreign direct investment (FDI) into the biopharmaceuticals sector alone and medicines account for nearly half the total exports of Ireland.
Apart from Indian pharmaceutical companies that have invested over US$ 200 million in Ireland, technology companies like Wipro, Tata Consultancy Services, HCL and Tech Mahindra have also invested in Ireland over the years.
As the country has the advantage of providing access to the European Union, it is expected that many more Indian companies will invest in Ireland over the next few years.