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    Global pharma companies rush into R&D in China 3/27/2006

    US pharmaceutical and nutritional giant Wyeth unveiled its first research and development facility in China on Friday.

    The Shanghai-based centre will act as Wyeth's regional clinical development centre in Asia.

    The centre is expected to have around 30 scientists at first, but will expand quickly.

    Robert Essner, chairman, president and CEO of the US firm, said in Beijing that R&D is the biggest concern for any pharmaceutical company. Therefore, he said, his company must do more to improve that; building R&D centres close to patients and the marketplace is one method.

    Wyeth has established a joint early clinical development centre with Peking Union Medical College Hospital in Beijing.

    The American pharmaceutical company also plans to build similar centres in the United States, Western and Eastern Europe, Asia, and Latin America this year in order to collaborate with local research institutes.

    China's participation in medicine development and a large patient population are two major reasons why Wyeth chose the country, according to Essner.

    Swiss pharmaceutical giant Novartis also plans to have its own development centre in China, according to Paul Herrling, head of corporate research with the firm.

    "It is a good time to set up an R&D centre in China now," said Herrling.

    He expected his company would be able to make a decision on the R&D plan in China in one year. If the centre is built in China, it would be the first development site for the firm in the country. Novartis has three corporate research facilities, in Basel, Singapore, and California.

    China's large population is one attraction for the drug maker, because of the diversity of genetic features. 

    The return of many overseas Chinese scientists and the increasing number of medical majors every year also provides a lot of talent for medical businesses.

    GlaxoSmithKline, the world's second largest pharmaceutical company, also said last month that it would establish its first development centre in China. Jean-Pierre Garnier, chief executive officer of the company, said he expected the centre to open "as soon as possible."

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