KUALA LUMPUR: Pharmaniaga Bhd is exploring a collaboration with JDMAS Commerce Sdn Bhd for the entry of the former's over-the-counter (OTC) products and generic pharmaceutical products into the China market through digital platform JD.com.
"Through this MoU, JDMAS will be partnering with Pharmaniaga to register, import,
distribute and market Pharmaniaga’s OTC and other healthcare products in China.
"JDMAS will also support the group in terms of regulatory advisory services, commercial trade and supply chain operations for the China market," said Pharmaniaga group managing director Datuk Zulkarnain Md Eusope in a statement.
JDMAS is the official Malaysian partner of JD.Com, China’s biggest online company by revenue.
According to Zulkarnain, the partnership is a part of the group's international foray, especially in China that has almost 570 million JD.com users.
"Expansion into the international markets has always been one of our strategic business goals, and we have paved our ways to make our presence felt in the South East Asian countries, the Gulf region and Europe market," he said.
Zulkarnain said to kick-start this initiative, the group plans to initially list its star OTC products - Citrex Vitamin C, Citrex Gummies, Baraka, Habbatus Sauda, Sweet Royale - and also other OTC products in the Malaysian Pavilion of JD.Com by January 2023.
It also plans to leverage extensive technology-driven platforms provided by JD.Com and its affiliates such as Douyin, Kwaishou and WeChat.
The collaboration between Pharmaniaga and JD.Com is expected to increase the current revenue of the star OTC products by 100% to 150% in the first year.
Revenue is projected to reach an estimated US$30mil by 2025 with other products being introduced on the JD.Com platform.