Quality Chemical Eyes Growth with New TB and Sickle Cell Drugs

Quality Chemical Industries Limited, a Ugandan pharmaceutical manufacturer, is making significant strides in expanding its product line and production capacity. The company, founded as a joint venture between Ugandan investors and India’s Cipla, has achieved record profits in the financial year ending March 2026. Revenue climbed to Shs290.5 billion, with net profit increasing by over a third to Shs56.4 billion, reflecting improved efficiency in production and reduced waste.

The firm recently launched Sikurea, its brand name for hydroxyurea, a crucial medication for managing sickle cell disease. This move is particularly significant as no other sub-Saharan African company manufactures this drug locally, making it expensive and largely inaccessible across the continent where the majority of global sickle cell births occur. Quality Chemical has already secured regulatory approvals in 31 African markets, with Uganda’s Ministry of Health committed to including Sikurea in its essential medicines catalogue.

Further bolstering its strategic outlook, Quality Chemical is undertaking a $36 million expansion at its Luzira facility. This new plant, slated for commissioning within 24 months, will significantly increase tablet production capacity and introduce an injectable line. The expansion targets the production of tuberculosis drugs, a sector currently lacking African manufacturers, and new HIV prevention drugs like Lenacapavir. The company is currently operating near its manufacturing capacity, necessitating this substantial investment.

Despite its strong financial performance and strategic product development, the company’s share price on the Uganda Securities Exchange has not fully reflected its valuation, partly due to a low free float. However, the upcoming expansion and the introduction of critical, locally manufactured drugs position Quality Chemical for sustained growth and a greater impact on African healthcare.

Source: Daily Monitor (Uganda)