The pharmaceutical industry is growing across the country, boosting the national economy and bringing particular growth to the fortunate places where firms are clustering.
One of those places is Virginia. Located in the East Coast region where more than half of the country's pharmaceutical companies are clustered, the state targets the pharmaceutical industry with a pro-business climate.
Among the companies that have chosen to locate in Virginia are Merck & Co., which announced a $100 million expansion there in 1995; B.I. Chemicals, Inc., a division of Boehringer Ingelheim, which announced a $19 million manufacturing expansion in the state; and Whitehall-Robins Healthcare, which announced a $34 million research and development facility in Richmond.
Since 1991, pharmaceutical companies have announced more than $227 million in capital investment and created more than 800 jobs in Virginia.
Fuisz Technologies, Ltd., a Fairfax-based firm that is an innovator in the fields of advanced drug delivery and food ingredient technologies, announced recently its decision to invest $1 million in a new 17,000 square foot food ingredient research and manufacturing facility in Loudoun County. The new operation, which will create 70 jobs, will research and develop food and nutritional supplements. The company also will invest more than $13 million in an expansion of its Fairfax County headquarters, where it will create 200 jobs.
"The location and continued development of our northern Virginia facilities has provided our growing international companies with several long-term strategic benefits, including easy access to Dulles International Airport and close proximity to key regulators located in Washington, D.C.," said Ken McVey, chief executive officer of Fuisz.
"In addition, the importance of a well-educated pool of potential employees -- and quality of life for current and relocated employees -- cannot be overstated."
Quality Packaging Systems, Inc. announced in 1997 its plan to locate a new, $6 million pharmaceutical packaging plant in Chesterfield County, where it will create 109 jobs over the next five years.
"Chesterfield County's highly capable work force confirmed Virginia's reputation as an ideal location to do business," said Paul Mangano, president and chief executive officer of Quality Packaging Systems, Inc. "The support we received from state and local government played a pivotal role in this decision."
Also in Virginia, Jouan, Inc., a France-based medical laboratory equipment manufacturer, decided to build an $8 million expansion to its Winchester facility, creating 60 jobs.
Maryland
Maryland is also home to a sizable portion of the pharmaceutical industry. The state has developed a number of initiatives aimed at attracting more firms. Maryland is home to 62 federal labs, and from them comes a continual supply of ideas for startup firms. The Investment Finance Group offers seed money to encourage these endeavors.
Maryland recently increased funding for two work force training programs, and its Sunny Day Fund provides financial assistance to qualifying companies.
Human Genome Sciences, Inc. announced in 1997 its plan to build a new manufacturing facility in Montgomery County, where it will create 140 jobs.
Kentucky
Kentucky recently became home to a Zenith Goldline Pharmaceuticals master finished goods distribution center. The company, which is a subsidiary of Ivax Corp., a multinational manufacturer and distributor of generic pharmaceuticals and health care products, decided to lease a 225,000 square foot facility for its operation, which created 85 jobs.
| Eisai, Inc. recently completed a new facility in Research Triangle Park in North Carolina where it conducts pharmaceutical research,develop-ment and manu-facturing activities. |
"We considered locations in Indiana, Ohio, Kentucky and Tennessee," said Paul Chisholm, Zenith's director of logistics.
"We also considered labor availability and rates, construction costs and business climates. In the final analysis, Kentucky became our choice and we're happy to be locating in Walton."
Perhaps Kentucky's biggest selling point to the pharmaceutical industry is its great location. It's situated within a day's drive of two-thirds of the entire U.S. market.
Indiana
Indiana is home to such pharmaceutical giants as Bindley Western Industries, Inc. and Eli Lilly and Co. The state concentrates on the pharmaceutical preparations portion of the industry, and is home to 9 percent of the total pharmaceutical work force in the country. Of the 295 pharmaceutical production facilities employing at least 100 people in the United States, 14 are located in Indiana. With such a high concentration of pharmaceutical firms, Indiana boasts a work force well-trained in the industry.
Within the Hoosier State, Cook Imaging, Inc., a manufacturer of medical diagnostic and imaging products, started Cook Pharmaceutical Solutions to manufacture sterile injectables and related products, and to participate in the testing and regulatory approval processes.
Also in Indiana, Bindley Western Industries, Inc. recently decided to move its headquarters to Indianapolis and expand by about 55 employees. The company buys drugs from manufacturers and distributes them to physicians, hospitals and pharmacy chains.
North Carolina
| With such a high concentration of pharmaceutical firms, Indiana boasts a work force well-trained in the industry.
|
North Carolina saw significant growth in its share of the pharmaceutical industry in 1997. Atlantic Pharmaceuticals, Inc. moved from California to Raleigh. The Bayer Corp. underwent a major expansion in Clayton, where it makes blood- and plasma-related therapeutics. Sphinx Pharmaceuticals, a division of Eli Lilly & Co., is undergoing a major expansion in Durham that's expected to be complete this year. And Eisai, Inc. completed a new facility in Research Triangle Park, where it conducts pharmaceutical research, development and manufacturing activities.
In 1996, Link Technology, Inc., which develops biopharmaceuticals, moved from Pennsylvania to Raleigh; Covance Biotechnology Services, Inc., which provides drug-development services to the biotechnology and pharmaceuticals industries, completed a new facility in Research Triangle Park; and Biogen, Inc., a pharmaceutical company, also completed a new facility in Research Triangle Park.
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