Business news from Ukraine


As part of a stress scenario in the event of escalation of hostilities, the pharmaceutical company Interchem (Odessa) is increasing stocks of raw materials and forming additional reserves of finished products for a number of items, Director General of Interchem Anatoliy Reder has said.
“We have revised the calculation criteria and approaches to the formation of stocks of raw materials and products. For the most vulnerable stock items, we are taking all necessary measures to increase them, including allocating additional working capital for a prompt response to force majeure situations,” he told Interfax-Ukraine.
Raeder noted that recently there have been interruptions in the supply of raw materials and consumables. To a greater extent, they concerned imported products delivered by sea. However, at the same time, the top manager notes that this is a common problem for the entire pharmaceutical industry and for the Ukrainian business in general, which largely depends on external raw materials.
“I can’t say whether they are caused to a greater extent by the current political situation, or in general by global logistical problems, but today the arrival of a container with raw materials, which we expected to receive on February 15, has been postponed to February 23. I really hope that all the raw materials will arrive, as the passage of sea vessels has been resumed,” he said.
In addition, the Interchem CEO said that the company was also concerned about possible complications with the supply of raw materials, which were carried out by air freight transportation. For example, if insurance companies for cargo flights take measures similar to those they have taken in relation to passenger air travel.
“It is important for us that all directions and types of transport logistics function, since Interchem receives raw materials for production both by land, by air, and by sea,” he said.
Commenting on the issue of possible changes in the range of products, Reder noted that the company had already formed a production program and production volumes of a particular commodity item, taking into account its possible increased demand in the event of escalation of hostilities.
“We have several items that belong to the state reserve range, and for these items we have ensured the necessary stocks. They are maintained in sufficient quantities and do not depend on the needs of the open market, we will be able to immediately ship them as soon as necessary. This required additional effort and expense, but it had to be done,” he said.
In order to prevent “any kind of failure” in the production process, the company has optimized the work schedule: production has moved to a six-day work week with three shifts on weekdays. In addition, as part of the development of the stress scenario, Interchem revised a program of foreign business trips, developed an emergency plan for evacuation of employees and conservation of production, and also carries out complex equipment of a bomb shelter in one of the largest residential areas of Odessa on its own, Reder specified.
“I really hope that with such thoughtful actions we will be able to avoid a shortage of raw materials and ensure uninterrupted supply of products. After all, the main task of the company today is to mobilize as much as possible in order to ensure the stable operation of production and uninterrupted shipment of products. People should not have a reason to panic due to a shortage of essential goods, and especially medicines,” the CEO says.
Interchem is one of the leading pharmaceutical companies in the country. The company is a supplier of medicines for the programs of the Global Fund to Fight AIDS, Tuberculosis and Malaria.
Interchem is a member of the Association of Manufacturers of Medications of Ukraine.

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