Jubilant Life Sciences hit by coronavirus; Nanjangud plant API production shut

In a major development, production at the Jubilant Life Sciences' Nanjangud plant near Mysore has been closed down due to coronavirus positive cases. Initially, an employee of the quality assurance department was found Coronavirus positive and later 4 more cases were detected - the total number of employees affected is now 10. Thereafter, the district administration quarantined the entire staff of around 950 persons in the plant and adjoining areas. A source at the district administration said, "The incident came to our knowledge on Thursday and thereafter, all the staff was asked to vacate the plant and sent for quarantine".

The company has sought 3-4 days to manage the existing stock under process before full shutdown of the plant. The company officials explained to the administration that sudden shutdown may have consequences because active chemicals were in process.

In fact, the entire cluster has been in a lockdown post this incident, so there is the uncertainty that even the manufactured stock at the plant can be transported or not.

Nanjangud plant manufactures API or active pharma ingredients which in simple terms means raw material to manufacturer drugs. 

Currently, the country is facing a shortage of APIs due to lockdown in China post Coronavirus outbreak. India imports more than 70% of its APIs from China due to cheaper rates. But supply break from China forced the government to re-strategise its policy on APIs. In fact government recently announced policy with incentives to promote domestic production.

Meanwhile, the government has suspended the export of 13 APIs and finished goods manufactured from these APIs. During such crucial time, the lockdown of Jubilant API plant is a setback for the sector. One Industry insider told Zee Business that it's highly surprising that how the Corona positive staff got access in the plant and it's also a big learning for other pharmaceutical producers.

Response from the company: 

In response to Zee Business query, Jubilant said, "As a precautionary measure, the plant has been temporarily suspended and all the personnel are under self-quarantine".