In the first two months of 2022, drug production in Moscow increased by 25.4% compared to the same period in 2021. This was reported in the press service of the capital’s Department of Investment and Industrial Policy (DIIP).
According to the report, a total of 84 pharmaceutical industry enterprises operate in Moscow, including 23 large or medium-sized ones. They produce drugs for the treatment of oncological and cardiovascular diseases, diabetes mellitus, nervous system disorders, and also make antibiotics and various vaccines, including those against the coronavirus.
“The development of the pharmaceutical industry is one of the priorities of the Moscow economy. Today, 84 enterprises operate in the capital, employing 14,800 people. They ensure uninterrupted supply of medicines, as well as steadily increase production,” said Vladimir Efimov, Vice Mayor of Moscow for Economic Policy and Property and Land Relations.
The city uses various tools to develop the pharmaceutical industry. Work with offset contracts proceeds smoothly. Under a contract, an investor opens a new production facility in the city or modernizes an existing one, and Moscow guarantees capacity utilization for a certain time. Five offset contracts have already been signed in the Russian capital, three of which are with pharmaceutical enterprises. These agreements will provide the city with more than 100 types of medicines, including anti-glaucoma, antibacterial, anticancer drugs, and other medicines, the DIIP noted.
“An important role in the development of the industry is played by enterprises operating in Technopolis Moscow Special Economic Zone. Today, the biomedical cluster includes 30 high-tech companies, including 21 with resident status, which provides significant tax benefits for them. Thanks to the preferences, the enterprises have already saved more than 200 million rubles,” Vladislav Ovchinsky, the head of the department, added.
In addition, all pharmaceutical enterprises of the city have access to support measures provided in connection with the sanctions. In particular, a moratorium was imposed on increasing rent on urban land and non-residential real estate, including those located in the Technopolis.
Drug manufacturers can also receive compensation for part of their costs in paying interest on loans for working capital financing, remunereation payment, purchase of equipment, and implementation of investment programs. Support is provided to enterprises that are registered in Moscow and have been working in the city for at least two years, and also meet the eligibility criteria in terms of the number of employees. To obtain cost compensation, companies need to contact the Moscow Fund for the Support of Industry and Entrepreneurship.
Industrial companies can rent land in Moscow for one ruble per year both to create new production facilities and to expand the existing ones. The preferential rate applies to the entire term of the lease agreements. The land will be allocated for one ruble per year for the implementation of large-scale investment projects.
Moscow Mayor Sergei Sobyanin earlier announced new support measures for pharmaceutical companies.
