Dong-A Pharmaceutical (President Kim, Won-Bae) signed export contracts on bio-medicals and brand name
pharmaceuticals worth USD 68 million (as of the contract value) for five years with five companies of three
Eastern European countries – Turkey, Russia and Ukraine.




Export items are a total of five and other two as follows: Gonadopin®, infertility medicine produced from
Dong-A Pharmaceutical’s own facilities as a bio-medical developed by its own bioengineering technology;
Growtropin®, growth hormones; Leucostim®, neutropenia medicine; Eporon®, hematosis medicine;
Interferon alpha®, antineoplastics, along with Gemcit®, anti-cancer medicine and Cycloserine,
tuberculosis medicine.




On August 13, Dong-A Pharmaceutical signed an export contract with L-Contract of Ukraine worth USD 7.5
million of Growtropin®, Gemcit® and Cycloserine, and another one with AllMed worth USD 24 million for
Interferon alpha®. By doing so, finished bio-medicals worth about USD 10 million are to be exported to
Ukraine over the course of five years.




Moreover, Dong-A Pharmaceutical publicly notified on August 13 on its settlement of export contracts with
pharmaceutical companies of Russia and Turkey in June and July. That is, it signed an export contract with Dr.
Frik of Turkey in June on Gonadopin® worth USD six million (for five years), another with DEM ilac on
Gemcit®, a brand name pharmaceutical worth USD 16.2 million and also another one with MIR Pharm of
Russia on Gonadopin® worth USD 16 million (for five years). In July, the company signed an additional
export contract to extend the existing one signed last year (worth USD 10 million per product for three years)
with DEM ilac of Turkey up to two years for Leucostim® and Eporon®. This would enable the company
to export even more worth USD 10 million for the two products, respectively. Thus, it would export high-value
added finished pharmaceuticals to Turkey worth a total of USD 62.2 million (USD 46 million for bio-medicals and
USD 16.2 million for brand name ones) over the course of five years. Meanwhile, Russia’s pharmaceutical
market is rapidly growing as its government with its oil money expands the public medical policies. In line with
this, Dong-A Pharmaceutical has actively targeted the Russian pharmaceutical market, and it is reported that it
is also undergoing an export negotiation with Russia’s biggest pharmaceutical company on another bio-
medical.




Such an entry into the Eastern European market has led to higher recognition for Dong-A Pharmaceutical in its
quality of bio-medicals requiring strict quality standards and technological prowess in the European
pharmaceutical market of the advanced GMP levels. Up until now, Korea’s export of pharmaceuticals has been
limited to antibiotics and pharmaceutical ingredients. By contrast, exporting finished products of higher-value
bio-medicals is significant in that it not only boosts profitability but also showcases the global competitiveness
of a domestic pharmaceutical company.




President Kim, Won-Bae said, “Turkey as an EU candidate in particular is already using the CTD Format (i.e.,
Common Technical Document), the registry format for European pharmaceuticals, and giving licenses on bio-
medicals pursuant to the European standards (i.e., EU-GMP). Therefore, these contracts pave the way for us
to advance into Europe, and Dong-A Pharmaceutical's globalization strategy will soon start shine to the
fullest.”




Dong-A Pharmaceutical is planning to fully expand its export to the European market on the ground of its
signing export contracts with Eastern European counterparts. Currently, the company is proceeding on export
negotiations on bio-medicals with those in the Commonwealth of Independent State