Seegene has established a subsidiary in Brazil, named Seegene Brazil Diagnoticos LTDA, as part of its effort to market its product aggressively in the largest Latin American country.
The company plans to use its subsidiary to sharpen price competitiveness and maximize sales by strengthening direct product sales and quick product certification.
Brazil's in vitro diagnostic market is growing fast to become the largest in Latin America, at 2.2 trillion won ($1.8 billion). Seegene has been targeting the Brazilian market for several years through local agents, but the barriers to enter the market, including demanding licenses, permits, complex customs clearance, and tax systems, was so high that it decided to make direct entry through a local subsidiary.
The company is seeking to acquire local experts who have sold Seegene products on retaining existing customers and increasing new customers with active sales activities.
Seegene has received approval for 20 of its products, including diagnostic kits for sexually transmitted diseases, respiratory diseases, acute diarrhea, and HPV, from Brazil's Agência Nacional de Vigilância Sanitária (ANVISA). The Korean company also obtained a medical device single screening program certification, which is an international medical device quality examination system, in March.
With the establishment of its subsidiary, the company plans to win sales approval for products that can diagnose tropical viruses such as Zika virus and dengue fever.
"In mid- to long-term, we plan to utilize the subsidiary as a bridgehead for expanding into Latin American market through local R&D and production as well as sales," Seegene CEO Chun Jong-yoon said.