Lifesciences: Biotech & Pharmaceuticals in Russia

8/3/2019 Lifesciences: Biotech & Pharmaceuticals in Russia

1/7

in

Life

Sc enceSRUSSIA

Al

lAbout

WhenWhat

Who

WhereHow

THE

REPORT

cOmPlETE

ATHARVALIFESCIENCES

CONSULTING

ATHARVA LifeSCieNCeS CONSULTiNG PVT. LTD.


2/7

Atharva LifeSciences Consulting Pvt. Ltd. 2

foreword

Biotechnology is con-sidered a top priorityin Russias economic

modernization plan

Russia is advancingrapidly. It recentlysuccessfully complet-ed the rst stage ofclinical trials of an HIVvaccine.

Discover Lifesciencesin Russia with a Athar-va GloLife report!

Karnvir Singh Mundrey

Editor

Director

Atharva Lifesciences Consulting Pvt. Ltd.

Traditions of Russian fundamental and applied life sciences

go back to the last third of the nineteenth century, the reign

of Tzar-Liberator Alexander II. Basic scientic schools in

organic chemistry and life sciences appeared in St. Peters-

burg, Moscow, Kazan, Kiev, and Warshaw. Since then, Rus-

sian bioscience and biotechnology has experienced rises

and falls together with the whole country.

Biotechnology is considered a top priority in Russias eco-

nomic modernization plan. Both the Russian government

and private industry have recognized the need to improve

the legaland economic environment for the biotechnology

industry. To improve co-ordination between the public and

private sectors, the Russian state has launched a national

program entitled Biotechnological Development in Russia

in 20062015.

Russia is advancing rapidly. It recently successfully com-

pleted the rst stage of clinical trials of an HIV vaccine. The

State Research Centre for Virology and Biotechnology, Vek-

tor, completed the rst stage of

clinical trials of the HIV vaccine.

Discover Lifesciences in Rus-

sia with a Atharva GloLife

report!


3/7


1. INTRODUCTION.............................................................................08

2. LIFESCIENCES IN RUSSIA............................................................14

2.1 Status of the Sector.................................................................16

2.1.1 Biopharma............................................................................16

2.1.2 Agri / Vet .............................................................................21

2.1.3 Fisheries ..............................................................................23

2.1.4 Alternate Fuels.....................................................................25

2.2 Lifescience Associations and Societies.........................................27

2.3 Biotech Cluster..............................................................................30

3. INVESTMENT FACTORS ...................................................................31

4. DOING BUSINESS IN RUSSIA............................................................34

4.1 Types of Business..........................................................................35

4.2 Visa Requirements.........................................................................39

4.3 Establishing a Company ..............................................................42

Contents

08 14

16 21

23 25

4.4 Registering a Foreign Company.............................................43

4.5. Transferring Assets................................................................46

4.6. Business Premises................................................................48

4.7. Financing a Business............................................................49

4.8. Incentives Programs..............................................................52

4.9. Employee and Social security................................................54

5. TAX SYSTEM........................................................................................58

6. LEGAL FRAMEWORK.........................................................................64

7. OPPORTUNITIES AND REQUIREMENTS...........................................66

8. PROFILES OF MAJOR LIFESCIENCE FIRMS......................................68

9. LIFESCIENCE EVENTS......................................................................96

27 30

31 34

35 42

43 46

48 49

52 54

64

58

68

6696


4/7


2.1 Status of the Sectors

2.1.1 Biopharma

The Pharmaceuticals segment has become

one of the leading segments, which has been

beneted from the strong young population

demand. The Russian pharma sector is projectedto show double-digit growth in near future owing to a

rise in investments by the private sector, most importantly

the foreign players. Growth of the Russian pharmaceutical industry is based on the rising health

conscious and consequent rise in the healthcare expenditure of the population. Additionally, rising

prevalence of diseases and demand for cheaper drugs will be some of the other important drivers

for future growth. Russian Pharmaceutical Market can be divided broadly into two major segments-

Commrcal Sgmnt

This segment includes retail drug sales and Para-Pharmaceuticals (health and beauty products andother non-medicinal products) but excludes medical drug sales under the Federal Reimbursement

program (FRP). The segment forms about 70 percent of the market by value.

Stat-ownd Sgmnt

This segment includes sales of medicines through pharmacies under the FRP program, as well as

sales through various prevention and treatment facilities and clinical chains. The segment accounts

for about 30 percent of the market value.

The Russian pharmaceutical market has emerged as a favorite destination for foreign pharmaceutical

manufacturers during last few years. The trend has been even more noticeable during last two years.

The government of Russia is doing its best to encourage foreign investment in the pharmaceutical

industry. As a result of the efforts of Russian government to reduce import dependence of the

pharmaceutical sector of the country, many foreign players have set-up their presence in Russia.

Such players have adopted various means to get the Russian status to avail the preferential treatment

of the government. The French pharmaceutical giant Sano-Aventis is opening a production line of

insulin pens in the Orel region. The Switzerland based pharmaceutical company Nycomed is making

an investment of about 60 million Euros to set up a drug manufacturing unit in Russia.


5/7


4. Doing Business in Russia

Business in Russia may be conducted in various forms, with setting up a legal person or not, via

Russian subsidiary company and via branches and representations. The fundamental concept

underlying Russian Company law is that a company and its participants are separate legal persons.

The company therefore has rights and duties independent of it shareholders and directors and can

take legal actions in its own name.

The most common groups of legal entities under Russian legislation are commercial and non-prot

organizations. Non-prot organizations may conduct entrepreneurial activity within the framework of

limitations stipulated in their statutory documents, but only as it serves the purposes for which such

organizations have been established. The Civil Code of the Russian Federation and other federal

laws stipulate establishing non-prot organizations in more than 30 forms: religious and public

organizations, non-commercial partnership, associations and units, charity foundations, etc

Commercial organizations shall be the organizations pursuing gaining of prot as the principal

purpose of their activity. In actual practice, the most common form of business organization in the

Russian Federation is commercial organizations.


6/7


8. Proles of Major Lifesciences Firms

Russian Venture Company

Russian Venture Company (OJSC) (RVC or Russian Venture

Company) is a government fund of funds and a development

institute of the Russian Federation, one of Russias key tools

in building its own national innovation system. Russian

Venture Company was established by Russian Government on June 7, 2006. Its mission

is to encourage Russias own VC industry and boost capital of VC funds. RVCs role is

that of a government fund of venture capital funds channeling public incentives to venture

capital and nancial support to the hi-tech sector, and of a Russian VC industry development institution.

Address: 3-1, Kapranova lane, Moscow, Russian Federation, 123242. Tel: +7 (495) 777-0104. Fax: +7 (495)

777-0106. Web: www.rusventure.ru. Email:N/A. Company type: Finance/Investor. Ownership: Privately

Held. Senior Management: Ruben Vardanian (Chairman of the Board of Directors), Igor Agamirzian (Chief

Executive Ofcer), Nikolay Korolev (Chief Operating Ofcer), Yan Ryazantsev (Director of Investment and

Expertise Department), Andrey Vvedensky (Director of Programmes and Projects Department) and Eugeny

Kuznetsov (Director of Development and Communications Department). Products: N/A. Services: Seed

funds, venture funds and RVC Biofund. Year of Establishment: 2006. Number of Staff: N/A. Current

Alliance:N/A. Company Turnover:N/A.

Baxter

Baxter - one of the worlds largest designers, manufacturers and suppliers

of products and services for health care.Baxter International Inc. - Is a transnational corporation with

headquarters in the United States, working in the health sector. Through its branches and ofces it provides

assistance to people in critical life-threatening condition. Baxter helps cancer patients with hemophilia that

has been seriously injured, suffering from diseases of the immune system, kidney, infections and many other

serious and dangerous diseases. Address:page 1, Building 10, Rozanov, Moscow 123007. Tel: +7 (495) 956-

38-39. Fax: +7 (495) 956-38-40. Web: www.baxter.com.ru. Email: N/A. Company type: Pharmaceutical.

Ownership: Privately Held. Senior Management: N/A. Products: Products for treatment of hemophilia,cancer, immune disorders, kidney failure. Services: N/A. Year of Establishment: N/A. Number of Staff:

N/A. Current Alliance: N/A. Company Turnover:N/A.

Ruben Vardanyan

Chairman


7/7


Read another Glolife Report...

Now Choose Your Next Glolife ReportToday !

Lifesciences: Biotech & Pharmaceuticals in Russia

Documents

Transcript of Lifesciences: Biotech & Pharmaceuticals in Russia