Reig Jofre warns that the draft drug law threatens local pharmaceutical companies.

BarcelonaReig Jofre, the majority-family Catalan pharmaceutical company, warned this Wednesday of the potential effects of the proposed pharmaceutical law approved by the Spanish government. While stating that the tariffs imposed by the United States, where pharmaceutical products have not yet been taxed, will not affect it much because it only sells between 1% and 2% of its production, the company's CEO, Ignasi Biosca, warned of the potential effects of these taxes.

He explained that what worries him is "the second derivative" that could cause Asian manufacturers to sell in Europe what they cannot sell in the US. "It would be the perfect place to unload all their excess stocks," he added.

He also explained that the semi-annual auctions planned for in the regulations approved by the government and other measures that prioritize price reductions go "in the opposite direction" to Brussels' messages of defending European autonomy over products considered strategic. "Perhaps six months ago it could have been like that, but now the defense of local production is in favor," and, according to Biosca, the draft regulations do not allow it.

The pharmaceutical company's CEO also admitted that they have "the will" to control the majority of LeanBio's capital, of which they already own 24%, and are building a plant to produce biotechnology-based active ingredients in Sant Quirze del Vallès, which will be ready by the end of this year or the beginning. The objective is vertical integration within Reig Jofre's plan to focus more on biotechnology than on chemicals, which will provide greater added value and higher margins, Biosca stated.