Leading drug firm Dr Reddy's Laboratories and Fujifilm Corporation of Japan have decided to terminate a pact to establish a joint venture and an exclusive partnership for generic drugs business in the Japanese market.

 

The move follows Fujifilm's realignment of its long-term growth strategy for the pharmaceutical business even as Dr Reddy's maintained that its plans to enter the Japanese market remained intact despite the development.

 

"As Fujifilm realigns its long-term growth strategy for the pharmaceutical business, both companies have led to a mutual agreement to terminate the MoU," Dr Reddy's said in a statement. The two firms had signed an agreement  on July 28, 2011 and had

conducted detailed studies to establish a joint venture to develop and manufacture generic drugs in Japan.

 

Commenting on the development, Dr Reddy's Chairman GV Prasad said: "Unfortunately, we will not be able to partner with Fujifilm specifically for generic formulations business in Japan. However, I want to reinforce our commitment towards a planned entry into Japan to bring affordable and innovative drugs to more patients worldwide."