Quality Chemical Industries Limited

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Quality Chemical Industries Limited
Type Private
Industry Pharmaceutical Industry
Founded 2005
Headquarters Luzira, Kampala, Uganda
Key people Francis X Kitaka
Chairman
Emmanuel Katongole
Managing Director & CEO
Services Pharmaceutical manufacturing
Total assets US$120 million (2012)
Employees 350 (2012)
Website Homepage

Quality Chemical Industries Limited (QCIL), is a pharmaceutical manufacturing company in Uganda. It is the only company in Sub-Saharan Africa that manufactures triple-combination antiretroviral (ARV) drugs.[1]

Location[edit]

The pharmaceutical manufacturing plant is located in the southeastern neighborhood of Kampala, known as Luzira, in Nakawa Division, approximately 11 kilometres (6.8 mi), by road, southeast of the central business district.[2] The coordinates of the QCIL pharmaceutical plant are:0° 18' 18.00"N, 32° 38' 24.00"E (Latitude:0.3050N; 32.6400E).[3]

The factory sits on 12 acres (4.9 ha), of well-mainicured lawns. The first plant was commissioned in 2007, with a capacity of 6 million tablets (pills) per day. A second plant is being planned on the premises, which will raise the manufacturing capacity to 18 million tablets (pills) daily.[4]

Quality Chemicals Limited[edit]

The company, known as Quality Chemicals Limited (QCL), was formed in 1997 by six investors:

Initially QCL focused on the importation of generic drugs from India. In 2004, QCL convinced the Indian drug maker, Cipla, to go into a joint venture with QCL and set up a pharmaceutical plant in Uganda. Ground was broken in 2005 and the factory was commissioned in 2007.[5]

New Manufacturing Plant[edit]

In 2007, the company commissioned a new pharmaceutical manufacturing plant in Luzira, a suburb of Kampala, Uganda's capital and largest city. The factory is a joint venture between QCIL, the Government of Uganda and the Indian pharmaceutical company Cipla. In 2009, TLG Capital invested an undisclosed amount of money in the project.[6] Later, Capitalworks Investment Partners, a private equity firm based in South Africa also became a shareholder in the pharmaceutical plant.

Besides manufacturing the triple-combination ARVs, the new factory will manufacture the new antimalarial drug Lumartem, containing artemisinin and lumefantrin. Lumartem has less drug resistance than some of the commoner antimalarials like Chloroquine. The new plant is estimated to cost about US$38 million.[7] In February 2010, the Government of Uganda divested from the new pharmaceutical plant by selling its shares, "at cost" to Quality Chemical Industries Limited. The transaction was valued at approximately US$5 million.

In February 2011, the owners of the pharmaceutical factory announced an US$80 million expansion to the production line, to include increased production of antiretroviral and antimalarial medication.[8] In April 2012, British media reported that QCIL was in the process of expanding its manufacturing capacity fourfold. The factory has received a stamp of approval of its processes and products from the World Health Organization. The products will be initially marketed to the Eastern African countries of Burundi, Democratic Republic of the Congo, Kenya, Rwanda, Southern Sudan, Tanzania and Uganda.[9]

Ownership of Pharmaceutical Plant[edit]

As of June 2014, the shareholding in the pharmaceutical plant is as depicted in the table below:[10]

Shareholding In QCIL Pharmaceutical Factory
Rank Name of Owner Percentage Ownership
1 Meditab Holdings Limited of Uganda 51.05
2 Quality Chemicals Limited of Uganda 32.55
3 Capitalworks Investment Partners of South Africa 08.20
4 TLG Capital of the United Kingdom 08.20
Total 100.00

Governance[edit]

The Chairman of the Board of Directors of QCIL is Francis X. Kitaka, the first person in East Africa to train as a biochemist. The Managing Director of QCIL is Emmanuel Katongole.[11]

See also[edit]

References[edit]

  1. ^ Wendo, Charles (6 October 2007). "ARVs Production Starts Monday". New Vision. Retrieved 23 June 2014. 
  2. ^ "Map Showing Central Kampala And Luzira With Distance Indicator". Globefeed.com. Retrieved 23 June 2014. 
  3. ^ Google, . "Location of QCIL Pharmaceutical Factory At Google Maps". Google Maps. Retrieved 23 June 2014. 
  4. ^ Baguma, Raymond (18 May 2012). "Quality Chemicals Giving Ugandans Fighting Chance". New Vision. Retrieved 23 June 2014. 
  5. ^ Elvis Basudde, and Robert Kasozi (31 October 2007). "Kitaka, The Brain Behind Africa's First ARVs Factory". New Vision. Retrieved 23 June 2014. 
  6. ^ Investment International, . (9 September 2009). "Ugandan Project Attracts Investors". InvestmentInternational.com. Retrieved 23 June 2014. 
  7. ^ Key, Data (2011). "Quality Chemical Industries, Uganda". Pharmaceutical Technology. Retrieved 23 June 2014. 
  8. ^ Gardner, Ann Marie (4 February 2011). "Teach a Man to Make Drugs: Pharmaceutical Companies Invest In African Generic Drug Plant". Good Is Magazine. Retrieved 23 June 2014. 
  9. ^ BBC, . (9 April 2012). "Making Drugs Into Profit In Uganda". BBC News. Retrieved 23 June 2014. 
  10. ^ Unnikrishnan, C.H (21 November 2013). "Cipla Buys Majority Stake In QCIL Uganda". Livemint.com. Retrieved 23 June 2014. 
  11. ^ Monitor, Reporter (18 October 2013). "Emmanuel Katongole: The Founder of Quality Chemicals". Daily Monitor. Retrieved 23 June 2014. 

External links[edit]

Coordinates: 00°18′18″N 32°38′24″E / 0.30500°N 32.64000°E / 0.30500; 32.64000