Tractus leads extensive in-depth research across 8 countries for raw material supplier, identifies India as the most suitable candidate
- The research encompassed the country of Vietnam which offers similar geography and climate conditions as China; India and Thailand, where there are strong herbal and general medicine pharmaceutical industries; Laos, Cambodia and Philippines which are in proximity to the aforementioned countries and are considered potential markets.
- Tractus commenced its search efforts through channels such as raw material traders, pharmaceutical companies, industrial associations, academic organizations and desktop research to gain industrial background information, and to shortlist stake holders for interviews.
- Tractus conducted phone interviews with relevant traders, plant-based drug suppliers, Government officers and researchers. Physical interviews were also set up.
- The research and interview results excluded Laos, Cambodia and the Philippines as they lacked the capabilities to produce and supply the required medicinal plants. Vietnam also was a no-go since neither the raw material plants nor supplier were available on a commercial scale. Although Thailand was abundant in raw material, it lacked economic benefits over the current Chinese supplier. Therefore, India was confirmed as a potential source of raw materials from which the ingredient could be produced economically and on a sufficient scale.
- In the next phase, Tractus identified a company in India with the know-how and capabilities to produce the ingredient. The company had previously manufactured this ingredient but competition from China and the lack of financial resources eventually halted business.