PEZA releases guidelines for pharmazone development

MANILA, Philippines — The Philippine Economic Zone Authority (PEZA) has issued the guidelines for the registration of pharmaceutical economic zones or pharmazones, in line with the agency’s push to attract medical and drug manufacturing-related investments in the country with the aim of making medicines more affordable to the public.

In a statement yesterday, the investment promotion agency said the guidelines for the registration of pharmazones and administration of incentives for pharmazone developers or operators and registered business enterprises, were approved by the PEZA Board chaired by Trade Secretary Cristina Roque.

Under the guidelines, pharmazones or areas dedicated for the manufacture of pharmaceutical and other health products, to be developed in the National Capital Region (NCR) and other metropolitan areas, should cover a minimum land area of 10,000 square meters.

Meanwhile, those outside NCR and other metropolitan areas should have a minimum land area of 50,000 sqm.

In addition, the pharmazones should have the following: high-speed data telecommunication system; clean, uninterruptible power supply with 100 percent backup; computer security and building monitoring and maintenance systems; firefighting equipment; reliable water source; efficient wastewater treatment facility; dedicated spaces for clinical trials; facilities for the accommodation of clinical trial participants; office space for PEZA, Food and Drug Administration (FDA) and Bureau of Customs personnel, as applicable; and other systems and resources deemed necessary for good clinical manufacturing practices imposed by relevant agencies.

Pharmazone developers or operators and registered business enterprises that register under these guidelines will enjoy the fiscal incentives provided for under Title XIII of the Tax Code, as amended. These include income tax holidays.