Jordan's pharmaceutical industry set to expand with 2 new drug factories

closeup of pharmaceuticals dumped out on-a counter
(Photo: Envato Elements)
AMMAN — Two new drug factories are set to open on the outskirts of Amman this year through a total investment of JD50 million, according to Fadi Atrash, the representative of the pharmaceutical and medical supplies sectors at the Jordan Chamber of Industry (JCI).اضافة اعلان

In an interview with the Jordan News Agency, Petra, Atrash has emphasized that building such plants shows the industry is headed in the right direction, as it is seeing high-caliber investments that support the Jordanian pharmaceutical sector.

The two factories will be located in Al-Baqaa and Al-Qastal areas, and “are purely local investments that will generate hundreds of job opportunities, ensure drug security, and meet the goal of self-reliance", he said.

Sector growthAccording to statistical data from the Amman Chamber of Industry, Atrash noted, the medical industries and the medical supplies sector performed well during the first quarter of this year. Exports increased by 20 percent, which is the highest growth rate when compared to the other industrial sectors, after experiencing a decline of 25 percent during the same period last year.

Additionally, he said, the sector's exports climbed during the first quarter of 2023 to JD147 million, from JD122 million during the same period last year.

The majority of pharmaceutical firms that were adversely affected by the COVID-19 pandemic are also expanding — evidence of the sector rebounding.

Meanwhile, the sector has witnessed the expansion of existing factories, the introduction of new highly effective production lines, investments in research and development, the pursuit of new non-traditional export markets, and the acquisition of international recognition attesting to the high quality of Jordanian goods.

Pharmaceutical trajectoryAccording to Atrash, the sector has begun a shift to digital marketing and has started producing new therapeutic and pharmaceutical drugs, increasing production capacity, and making other ongoing investments that will contribute to the sector's growth and prosperity and help Jordan become a regional hub for the pharmaceutical industries.

Jordanian pharmaceutical factories inked memoranda of understanding and strategic partnership deals during a recent meeting of the Supreme Committee for the Integrated Industrial Partnership in Amman, which saw the participation of Jordan, the UAE, Egypt, and Bahrain. During the meeting, cooperation agreements between Jordanian, Egyptian, and Emirati pharmaceutical factories were likewise sealed to establish projects with the backing of regional funds.

Regarding government support for the industry, Atrash said some government decisions were made this year to hasten the sector's growth and achieve its desired goals, citing the Cabinet's approval of the amended bylaw for testing medicines, and the exclusion of research and development materials from taxes and customs.

"The inclusion of the pharmaceutical industries sector in the Economic Modernization Vision reflects its significance as a key tributary to the Jordanian economy, seeking to attract an estimated JD1.1 billion in investments within 10 years," he added.

The state of the sectorThe pharmaceutical sector, which contributes 4 percent of the nation's GDP, employs about 7,000 individuals, the majority of whom are Jordanians, with 35 percent working women.

Through 24 production facilities, it exported goods worth $600 million to more than 80 overseas markets in 2022.

Read more National news
Jordan News