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New Medicine New Hope KRPIA Value of New Medicine Social Contribution Directory New Medicine New New Hope 2017 KRPIA Annual Report Korean Research-based Pharmaceutical Industry Association 2017 Annual Report Message from the Chairman Greetings! I would like to thank everyone who has shown end- less interest in Korea Research-based Pharmaceuti- cal Industry Association(KRPIA) for the development of pharmaceutical industry, which to be the emerging driving force in the era of the 4th Industrial Revolution. For last 18 years, KRPIA has put utmost effort on devel- oping healthcare system and reinforcing the leadership of pharmaceutical industry in Korea. This year, KRPIA changed its Korean name as ‘Ko- rean Global Pharmaceutical Industry Association’, and refreshed our vows to contribute on promoting the people’s health by developing and supplying innovative new drugs, and globalizing Korea’s pharmaceutical industry. KRPIA and its member companies especially value bettering the health and quality of life of Korean patients, social responsibility, and leveraging Korean pharmaceutical “KRPIA Is Dedicated to Sustainable, Healthier Lives industry’s reputation, and to document such effort, we have published the ‘2017 KRPIA Annual Report’. through the Development of Innovative New Medicine.” The report includes information on social, financial and industrial values of innovative new drug, mutual collaboration with Korean pharmaceutical companies, global phar- maceutical companies’ CSR activities as a corporate citizen, and member company de- tails. The report contains KRPIA’s hope to contribute as a responsible member of Kore- an pharmaceutical industry, and to mutual grow with the Korean society. The pharmaceutical industry is a collection of the 4th Industrial Revolution based technology, and also a future growth engine with potential to create quality jobs and high value-added business. The world is striving to secure new economic driving force through pharmaceutical industry. Korea is also on a crucial crossroad to leap as a phar- maceutical powerhouse. KRPIA and global pharmaceutical companies would continue to strive for the Korean pharmaceutical industry to reach the new turning point with endless growth. Moreo- ver, KRPIA aims to serve its role on lessening patients’ burden while encouraging their hopes by supporting the government’s NHI coverage enhancement plan. I sincerely hope you will continue to give KRPIA your interest and support. Thank you. November, 2017 Oak-yeon Kim, Chair 2 2017 KRPIA Annual Report VALUE OF NEW MEDICINE SOCIAL CONTRIBUTION Creating Happiness and Patient Benefit Through New Drug Development Social Contribution Through New Drug Supply and Global Expansion Cooperation Medical Expenses Prolonging expected life Reduction expectancy with new drug Domestically Amount of Available Medicine Donation Investment in Reduced Medical New Drug Expenses Coporate Social 13% Drugs in Korea +1$ -7$ Contribution 01 Amount of national social Longevity & Effect of New Cardiovascular Drugs value generated when death Quality of Life about 1,200 KRW 24.7billion rate reduced by 1% (‘16, 27 companies) Drug Decreases Hospital About KRW Spending Expenditure by Marketing 48 trillion to 126 trillion R&D Open +24$ -89$ Collaboration in Innovation The benefit of innovative 02 Overseas Markets new drug Reduced Medical Market Size of Expenses Pharmaceutical Industry Win-Win Pharmaceutical Industry Collaboration Open Innovation Automobile Industry Cancer death rate reduced by Semi-conductor Industry 25% 1,200 Abott Korea•CTC Bio: License agreement for the 3 incrementally modified new drugs within Asia Abott Korea•CTC Bio: Co-development of Anti-ulcer Combination Drug New drug increases hepatitis C Bayer Korea•Dong-A ST: Co-promotion of ‘Tedizolid,‘ an antibiotic for super bacteria, in overseas AbbVie•DongA ST: Collaboration with Dong-A-ST for MerTK inhibitors in pre-clinical markets(excluding America and Europe) development for use in conjunction with immuno-oncology therapies complete cure rate by 600 400 GSK Korea•Dong-A Socio Holdings: Investment in shares AstraZeneca Korea: Conducting Asia’s first comprehensive clinical study and pre-clinical Lilly Korea•Hanmi Pharmaceutical: Exclusive license and collaboration agreement for the study projects jointly with research teams in Korea 133% development and commercialization of HM71224, treatment of autoimmune and other disease BMS Pharmaceutical Korea Ltd.: Master Clinical Trial Agreement with clinical trial institutions 03 (Unit: KRW trillion) Janssen•Hanmi Pharmaceurtical: Collaboration agreement on technology export for co- in Korea Future Growth development and commercialization of diabetes/obesity treatment GSK Korea: Pre-clinical study in new candidate compounds for anti-cancer drugs jointly with Cancer patients returning Annual Drug Export MSD•Dong-A ST: Co-promotion of ‘Tedizolid,‘ an antibiotic for super bacteria, in overseas major research institutions Engine markets(America and Europe) Janssen Korea: MOU with MOHW: investing $80 million for R&D for severe and infectious to society by innovative diseases and expansion of academic exchange programs over the next 5 years(2014~2018) Annual average increase of 11.5% MSD•Hanmi Pharmaceutical: Investment in R&D of ‘Cozaar XQ ,‘ a combined treatment for anticancer treatment hypertension, and partnership for exporting it to over 50 countries Lilly Korea: Agreement with the Korea Research Institute of Chemical Technology through the MSD•Samsung Bioepis: Collaboration agreement for global commercialization of biosimilar Open Innovation Drug Discovery Program products with Samsung Bioepis MSD Korea Ltd.: ‘Science Ambassador’-Collaborative research across the world and obtained Mundipharma Korea•Genewel: Collaboration with Genewel for licensing, distribution and 250 licenses in Asia promotion of Medifoam®, a moist wound dressing product Novartis: KOTRA Global Partnering Conference sanofi-aventis Korea•Hanmi Pharmaceutical: In discussions for overseas expansion of ‘Rovelito,‘ Pfizer Pharmaceuticals Korea Ltd.: Signed MOU with Korea's Ministry of Health and Welfare the Korea‘s first ARB-Statin combination drug for research and development(R&D), contributed to domestic new drug development and 80% of cancer patients Sanofi•Hanmi Pharmaceutical: A worldwide license agreement to develop a portfolio of healthcare infrastructure research(2008-present) 2.3 2.3 2.5 3.3 3.6 experimental, long-acting diabetes treatments Servier Korea: Partnership with Korea Drug Development Fund(KDDF) returned to workplace Sanofi•LG Chem: Licensing of diabetic treatment ‘Zemiglo‘ in about 70 countries sanofi-aventis Korea: Joint research on diseases prevalent among Asian people within a year after cancer Zuellig Pharma Korea•Boryung Pharm: Exclusive licensing agreement for Kanarb, ARB medicine Sanofi Pasteur Ltd.: A long-term strategic cooperation for the co-development of an diagnosis 2012 2013 2014 2015 2016 for high blood pressure, in 13 Southeast Asian countries innovative Pneumococcal Conjugate Vaccine(PCV).(Collaboration with SK Chemicals) (Unit: KRW trillion) Korean Research-based Pharmaceutical Industry Association Korean Research-based Pharmaceutical Industry Association 4 2017 KRPIA Annual Report 2017 KRPIA Annual Report 5 KRPIA A Leader in Innovative New Drug Development Korean Research-based Pharmaceutical Industry Association contributes to promoting health and advancing the pharmaceutical industry through the development, production, and supply of innovative new drugs. Korean Research-based Pharmaceutical Industry Association 6 2017 KRPIA Annual Report 2017 KRPIA Annual Report 7 01. KRPIA Introduction 02. KRPIA Activity 01. KRPIA Introduction 02. KRPIA Activity KRPIA KRPIA Organization The Creation of Hope and Happiness by General Assembly R&M Committee Developing New Drugs Market Access Committee Board of Directors RA/IPR Committee The innovative new drugs that are produced and provided through Healthcare Policy Committee continuous R&D will enhance the public’s quality of life Chairman Ethical Business Practice Committee Korean Research-based Pharmaceutical Industry Association(KRPIA) represents all its member pharmaceutical compa- CEO of KRPIA PA·Communications Committee nies that produce innovative new drugs through continuous R&D activities to enhance patients’ health and to enrich the quality of their lives. KRPIA is striving to create an environment where local and global research-oriented pharmaceutical companies actively invest in developing new drugs and contribute to enhancing the health of all humankind. KRPIA was established in March 1999 and gained official approval for an incorporated association by the Ministry of Health and Welfare(MOHW) in June 2000 and by the Ministry of Food and Drug Safety(MFDS) in 2014. As of 2016, its membership includes a total 40 research-oriented pharmaceutical companies. Major Activities Objective Stimulating R&D Activities Cooperation for Approval·IPR · Conduct policy research and make · Conduct policy research and make suggestions Provide the best treatment rapidly and properly to patients in Korea suggestions focused on R&D for timely reimbursement of new drug · Conduct surveys on annual demand for R&D · Analyze approval related policy based on the highest drug R&D capabilities and information issues and suggestions to establish harmonized policy framework Vision Contribute to the healthcare and medical industries in Korea, in which Improving Patient Access to Drugs Research and Development the value of innovative new
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