Indo-Bangla Pharma (IBPL) has secured a landmark 15-year agreement to export medicines to Afghanistan, marking a significant step in its international expansion.
The deal, formalised through a partnership with Salar Yousafzai Pharma Limited, was signed in Dhaka and sets the stage for long-term collaboration between the two companies, the company said in a press statement.
As part of the agreement, Indo-Bangla will supply its premium pharmaceutical products to Afghanistan, with Salar Yousafzai Pharma acting as the exclusive agent.
The initial shipment, valued at $150,000, will be followed by a second batch worth $280,000. Payment for each shipment will follow a 40% advance payment structure, with the remaining 60% settled 15 days prior to shipment. The products will be shipped from Chittagong on an FOB basis, using either sea or air transport.
The deal is expected to drive economic growth for Bangladesh, not only by opening new export markets but also by generating foreign currency and increasing the company’s sales. The long-term nature of the contract is anticipated to play a pivotal role in Indo-Bangla’s future growth.
Additional terms of the agreement include maintaining strict product quality, ensuring shelf life standards, replacing damaged goods, and covering transportation costs. The contract will undergo quarterly reviews, with any changes requiring written approval from both parties.
This agreement is a significant milestone in strengthening business ties between Bangladesh and Afghanistan, with both parties optimistic about its potential to foster economic growth.
Moreover, Indo-Bangla Pharma is also working towards exporting medicines to Cambodia and Vietnam, according to the press release.