Media Coverage

Boehringer backs vaccines with $80M expansion in Georgia and Missouri


Dec 05, 2017 - Animal Pharm
By Joseph Harvey
Animal Pharm
December 5, 2017

Boehringer Ingelheim Vetmedica (BIVI) is pre-empting an increased demand for veterinary vaccines by spending $80 million on expanding its existing facilities in Athens, Georgia and St Joseph, Missouri. 
 
The company is getting behind one of its core strengths – food animal vaccines – as preventatives become increasingly prominent in the animal health industry. With the addition of Merial, Boehringer's portfolio is now 81% focused on preventative products such as vaccines or antiparasitics. More specifically, around 37% of the firm's portfolio is biologicals.

Boehringer is currently the leading firm in the global veterinary vaccines space, with Merck Animal Health in second place, Zoetis in third and Ceva Santé Animale in fourth.

Half of Boehringer's top 10 products in terms of revenues are food animal vaccines: Ingelvac CircoFlex; PureVax; Gallivac; Ingelvac PRRS MLV; and Vaxxitek.

Athens capacity to double

The firm's facility in Athens will grow from around 350,000 square-feet to 400,000 square-feet. The site will nearly double its filling capacity for companion animal and avian vaccines. These augmentations are expected to bring an additional 50 positions to support the expansion across the next three years.

Construction is expected to begin this quarter, with developments to continue through 2019 and commercial production pencilled in for the second half of 2019.

This facility was established in 1989 and currently employs around 400 people. Boehringer also has R&D operations based at the Athens site.

Last year, the firm's merger with Merial resulted in BIVI deciding to move its North America headquarters from St Joseph to Duluth in Georgia.

Core St Joseph facility also set for growth

In St Joseph, Boehringer will be building a 13,000 square-foot expansion to allow for increased production of livestock animal vaccines, which the firm said will be added to its approximately 700,000 square-foot manufacturing site in the city. This construction work will also begin this quarter.

The company's manufacturing operations in St Joseph also features a warehouse, R&D and other support functions. This site is Boehringer's largest animal health manufacturing operation globally.

Boehringer said this expansion is expected to be completed in the second half of 2019, with 20 additional jobs being created over the next few years to support increased capacity.

Between 2010 and 2015, BIVI invested nearly $160m in its St Joseph operations. This included a new global packaging and distribution warehouse.

Boehringer also has a $110m investment project aimed at expanding its Iowa facilities in Fort Dodge and Ames.

Boehringer has 10 sites focused on animal health in the US. Specifically, the company has: four facilities in Georgia, including the Athens facility; two facilities in Iowa; two facilities in Missouri, including the St Joseph facility; and one facility each in New Jersey and Minnesota. 

Reprinted with permission of Animal Pharm News

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