Enhancing Supply Chain Security for Levetiracetam API
Authors: AVT Reddy, Head - API Supply Chain; B Shivakumar, Product Manager - API
December, 2019
In this article we look at the factors, which can make an impact to ensure a reliable supply chain. Levetiracetam, one of the key APIs in our portfolios, is a model API, which shows how a diligent backward integration together with flexible capacities can enhance the security of the supply chain.
A brief background: Since 2017, the Chinese Government enforced environmental laws and regulations1) across the country to clean up air, water and upgrade its production efficiency. These regulations impacted numerous Key Starting Material suppliers resulting best case in a multifold price increase and worst case in a supply shortage. Our team at Dr Reddy’s implemented a diligent concept to tackle this situation in record time. The following 3 factors showed:
- Localization of KSM – Dr. Reddy’s entered into a strategic tie-up with China vendors and Indian business partners to transfer the technology/Know-how of KSM to India. Additionally, Dr Reddy’s further improved the technology in order to make it more sustainable by minimising the waste generation and re-using the solvents/reagents. Instead of shipping the KSM all the way from China, a local supplier can deliver faster and more flexible.
- Backed up by an alternative source – to further strengthen the supply chain, Dr. Reddy’s established another source for KSM in India. Following the same optimization principals as, mentioned above supplier has been qualified with approvals from global regulatory authorities including the USFDA and EDQM- in a record four months’ time.
- Scaling manufacturing capacities – To meet the increasing demand and to address the shortage, Dr. Reddy’s expanded the manufacturing capacity for Levetiracetam. The higher capacity ensures fastest turnaround times. Our process engineering team have developed crystallization processes and size reduction operations to meet customized physico-chemical properties such as, but not limited to, particle size, bulk density (tapped /untapped) .
Within three to four months our OTIF (on time and in full) performance increased to 100 % and so did customer satisfaction. Today, Dr Reddy’s has achieved a competitive position in supporting the global Levetiracetam API demands.
Explore our Levetiracetam offering by clicking on the link below:
https://api.drreddys.com/product/levetiracetam
Reference
1) http://www.gov.cn/zhengce/content/2016-11/21/content_5135510.htm
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