Fresenius Kabi Puerto Rico invests $30M to expand San Germán complex
Fresenius Kabi Puerto Rico, a company focused on transfusion technology, blood collection and processing products, as well as cell therapy, announced plans to expand its manufacturing complex in San Germán, at a cost of $30 million.
The expansion entails modernizing and automating the plant to increase its capacity and competitiveness, as well as establishing a center of excellence for research and development of transfusion and cell technology.
Of the $30 million investment, more than $25 million will be used for machinery and technical equipment, while the rest will be pumped into expanding the physical plant, which the company bought, company officials said.
This is a strategic investment for the company, and an indication of future expansions in production levels, quality improvements, and long-term job security, they said.
“This is a historic event for Fresenius Kabi. The transformation achieved by the Puerto Rico operations, especially during the past four years, makes it very clear that our San Germán operation represents an indisputable strategic advantage in preserving and increasing a presence in the transfusion medicine sector,” said Christian Hauer president of the Transfusion Medicines and Cell Therapies Division.
“That was the critical thinking that led us to acquire the San Germán plant and make significant investments in modernization and automation of processes,” he added.
The plant started operations in San Germán 25 years ago. Eight years ago, it became part of the German company Fresenius Kabi. The company has another plant in the town of Maricao.
“The operational excellence, commitment to quality, and dedication to the highest manufacturing standards of Puerto Rican workers are exemplified through this expansion at our San Germán plant. Our Puerto Rico operations are an example of the focus on efficiency and productivity,” Eric Santiago-Justiniano, vice president of Fresenius Kabi de Puerto Rico said.
Economic Development and Commerce Secretary Manuel Laboy said the Puerto Rico Industrial Development Company will grant an incentive equivalent to 20% of Fresenius Kabi Puerto Rico’s total investment. The money is intended for infrastructure and the company must guarantee the operation of the plant for a minimum of 10 years.
“The manufacturing sector in the biosciences area continues to gain ground in Puerto Rico and there is increasing interest from companies to expand their operations, which places the island in an attractive position for other companies to invest and have first-rate specialized professionals,” he said.