Pharco Pharmaceuticals plans to begin production at a $49 million drug plant in Saudi Arabia by mid-2027, extending the Egyptian pharmaceutical maker’s manufacturing footprint beyond its home market as it also weighs new factories in Africa.

Saudi plant targets local drug production

The facility in Al Madinah will initially manufacture solid oral medicines, with the site designed to support future production of additional dosage forms, including biologics and vaccines.

The investment marks a shift in Pharco’s Saudi strategy from exports toward local manufacturing, aligning the company with Saudi Arabia’s push to expand domestic pharmaceutical production and industrial capacity.

Producing medicines locally could also give Pharco closer access to government procurement and reduce supply-chain distances across the region.

Pharco weighs two African factories

Pharco is evaluating six African markets as it considers establishing one manufacturing base in East Africa and another in West Africa. The company has yet to select the locations.

The proposed facilities would move Pharco closer to growing pharmaceutical demand across the continent while positioning the company within local procurement, regulatory and distribution systems.

Pharco Pharmaceuticals is the parent company of Pharco Group, founded by Hassan Abbas Helmy in 1983. Headquartered in Egypt, the company describes itself as the largest pharmaceutical manufacturer in the Middle East and North Africa, with operations spanning pharmaceutical research, formulation, manufacturing and commercialization.

Pharco exports to more than 50 countries and manufactures more than 750 million medicine packs annually.

Egypt remains Pharco’s production base

The overseas expansion comes alongside fresh investment in Egypt. Pharco recently completed about EGP650 million ($12.6 million) in factory upgrades, including additional ophthalmic production capacity.

The company plans to invest a further EGP1 billion ($19.4 million) through the end of 2027, reinforcing Egypt’s role as its principal production and development base.

The investments point to a broader strategy: Pharco is retaining its Egyptian manufacturing core while establishing local production in markets where pharmaceutical regulation, government procurement and industrial policy increasingly favour domestic capacity.