Davipharm Invests In Factory Expansion For High Quality Drugs

As Vietnam’s pharmaceutical industry accelerates on the back of rising healthcare demand and regulatory tightening, Davipharm, a member of Adamed Group, is preparing for its next growth chapter. The company’s upcoming project to upgrade its infrastructure and warehouse in HCMC valued up to more than USD 20 million to boost production and improve quality, and another factory expansion project to triple its capacity.

Photo: Davipharm is upgrading its infrastructure and warehouse in to boost production and improve quality

Vietnam’s pharmaceutical market has been expanding steadily, driven by aging population, a rising middle class, and increasing government attention to healthcare access. According to the Vietnam Pharmaceutical Industry Overview Report by IQVIA (Q2-2025), Vietnam currently leads the Southeast Asian region in pharmaceutical sales, reaching over USD 9 billion, a 5% increase compared to the same period last year. It is forecasted that by 2030, the total value of Vietnam’s pharmaceutical market will increase to about 13 billion USD. At the same time, stricter regulatory standards are reshaping the landscape, pushing manufacturers to adopt higher benchmarks in production and compliance.

Among these trends, Mr. Wojciech Makowski – Operational Director of Davipharm stated: “Our investment will give us the scale to meet increasing domestic needs, while also ensuring we can supply international markets by elevating our standards to be on par with the most demanding global benchmarks”.

Accelerating high quality drug production in Vietnam

From 2021, Davipharm is one of several companies in Vietnam to be certified with EU-GMP. More notably, it is the only company in the region with EU-GMP certification from 2024 till now for HP Zone to produce oncology drugs.

This milestone positions Davipharm not only as a leading domestic manufacturer but also as a trusted partner capable of producing high-quality, life-saving medicines that meet international standards. It also positions the company as a pioneer, in line with Vietnam’s National Pharmaceutical Industry Development Strategy – Vision 2045, which sets a target for 20% of domestic companies to achieve EU-GMP or equivalent certification. The broader goal is to ensure self-sufficiency in essential medicines and to position Vietnam as a leading pharmaceutical manufacturing and export hub within ASEAN.

Davipharm’s factory upgrade project will add a modern warehouse, a significantly larger packaging area, and quality control lab. Once completed, these facilities are expected to streamline production flows, reduce bottlenecks, and improve efficiency across the supply chain.

In parallel, Davipharm is setting up new HP product lines. “This is about more than just capacity – it’s about capabilities,” Wojciech explained.

A strategy aimed at expanding the factory and tripling production capacity is also being planned, and it is one of the key solutions necessary to support Davipharm’s growth, as new markets, new products, and increased exports require the company to reach the next level of efficiency and scale.

As a member of Adamed Group, Davipharm balances Adamed’s global know-how with Vietnam’s local healthcare priorities to create a sustainable impact. Through technology transfer products, first wave generics, and patient-centered innovations, the company delivers solutions that directly benefit the community.

This synergy of international expertise and local insight helps ensure that affordable, high-quality and value-added medicines are available to Vietnamese patients – turning innovation into tangible healthcare progress.

Photo: Davipharm is committed to providing high-quality medicines for patients.

While Vietnam remains Davipharm’s core market, exports are becoming an increasingly important focus. The expanded warehouse and production lines are designed not only to serve domestic hospitals and pharmacies but also to support Adamed’s global supply chain. Vietnam is becoming a more important hub for pharmaceutical manufacturing in Asia, and Davipharm is keeping pace.

Sharing knowledge – Supporting the industry

Beyond its own growth, Davipharm has expressed readiness to accompany other businesses and organizations in promoting high-quality pharmaceutical production. The company shares practical insights from its EU-GMP journey, offering hands-on experiences in manufacturing, inspection, and quality management.

This collaborative approach reflects a recognition that Vietnam’s competitiveness depends not only on individual companies but on the strength of the entire ecosystem. By collectively raising standards, the industry can better serve patients while also enhancing its credibility abroad.

Photo: Mr. Wojciech Makowski shared Davipharm’s successful EU-GMP implementation experience at the GMP 2025 Conference in September, Hanoi.

The factory upgrade and warehouse expansion is only the latest step in Davipharm’s long-term strategy, which includes investments in digital transformation, sustainability, and product diversification. When the expansion is completed, the company aims to be recognized not just as one of Vietnam’s top manufacturers but also as a regional benchmark for quality and reliability.

For Davipharm, the message is clear: scale up responsibly, elevate standards continuously, and remain agile in a market where patient needs and regulatory expectations are rising fast. More than just a construction project, the expansion represents a statement of intent – that Davipharm intends to play a defining role in Vietnam’s pharmaceutical future.

Source: 24H