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Conversation highlights:
- CFM focuses on cohesion among pharmaceutical companies, innovation through AI adoption, and fostering inter-sectoral collaboration to position Mexico strategically in North America.
- Mexico has strengthened its human capital and translational research capabilities over the past decade, though talent retention and research volume remain key challenges.
- The eight CFM member companies represent approximately 25% of Mexico's private pharmaceutical market and bring over 65 years of combined experience to the ecosystem.
- Plan Mexico and USMCA revisiting creates a once-in-a-generation opportunity to enhance regional pharmaceutical manufacturing capacity and supply chain resilience.
- The alignment of Mexican government interests, U.S. nearshoring needs, and industry investment appetite positions Mexico for a more prominent role in North American pharmaceutical supply chains.
- CFM envisions Mexico becoming part of a vertically integrated North American pharmaceutical hub by 2035, leveraging AI and collective intelligence for personalized medicine at scale.
EF: What was the mission you were given when appointed as Executive Director of CFM?
AS: The Executive Director translates the vision of our President, Guy Jean, who represents this new generation of pharmaceutical leaders. The main mission centers on three pillars. First, promoting cohesion and finding common ground between multinational and national companies. We face a milestone moment in human history with the geopolitical ecosystem being reshaped, plus we have Plan Mexico and the USMCA revisiting happening simultaneously. This is an opportunity that occurs once in a generation. Second is driving innovation and reducing risk aversion. Guy Jean is very keen on exploring how to use AI and how we can leap forward. Mexico has been behind in terms of innovation, but AI can enable a big leap to catch up or even go ahead in terms of innovation and efficiency. The third pillar is fostering inter-sectoral collaboration. One of my main tasks is enhancing collaboration with organizations like Cofepris and UNAM, building bridges between sectors, institutions, and companies.
EF: What are the two key achievements of Mexico's life science ecosystem over the past decade, and what should the sector focus on as we approach 2030?
AS: The first major achievement is establishing world-class standards for our institutions, the big institutions like Instituto Nacional de Nutrición and universities, now identify the journals they want to be cited in and recognize the institutions that can make a difference. However, we still face challenges in research volume and translating research into actual solutions. A significant advancement here comes from our current Minister, Dr. David Kershenobich. When I was Chief of Staff to Dr. José Narro Robles during his tenure as Health Minister, David was the director of the Instituto Nacional de Nutrición and was one of the main promoters of translational research. Mexico has identified that its strategic position should be in translational research rather than pure science, given the pressing health and public health problems we need to address. The second achievement is increased collaboration among industry, government, and academia. There was a pause during the former administration, but we have regained that interest in working together. We've also achieved greater integration with the North American commercial ecosystem and enhanced knowledge exchange. The clear vision that Mexico's best should necessarily be a North American bet, based on shared values with North American countries, allows us to think on a big scale.
EF: What is the role of CFM in this particular landscape?
AS: CFM is integrated by eight companies with extensive history in the Mexican ecosystem. The youngest member has over 65 years of operations. Together, they represent approximately 25% of the private market in terms of medication prescriptions. The most identifying feature of CFM membership is the commitment to being value-driven companies, super committed to compliance and transparency. There's significant trust among these companies, which is remarkable because they are competitors, but they always try to find common ground to push forward. CFM's main role is avoiding the noise of short-term discussions and shaping questions in terms of the future. Less about short-term disputes and more about how we integrate into the North American market. We've moved beyond the doctrine that the absence of industrial policy is the best industrial policy. You need to purposely align incentives in a win-win manner for everyone. We're an evidence-driven organization trying to stay out of politics and focus on policy discussion. Our approach is always propositional rather than confrontational. Instead of listing reasons why something cannot work, we propose how to implement solutions. For instance, with Plan Mexico, rather than criticizing the lack of detail, we are proposing the details to make it possible.
EF: How do you leverage the current landscape with Plan Mexico to strengthen Mexican pharmaceutical companies both locally and internationally?
AS: We see simultaneous alignment of critical factors. The world is changing in ways that require enhancing local capacity and sovereignty. COVID-19 showed us we cannot be that exposed to supply chain disruption risks, whether from climate change, wars, or geopolitical tensions. One positive outcome from the pandemic is realigning understanding that health is the first requirement for everything else. We identified this need from a regional perspective, not just as a country. The United States is very aware of this, and it's part of the current administration's agenda. We see the Mexican government's interest in revitalizing the industry coinciding with increased pharmaceutical investment, even as general investment in Mexico remains low. CFM has played an outstanding role in promoting investment for many decades, making long-term bets since return on investment comes after many years. The opportunity lies in aligning the need for more robust regional capacity, the Mexican government's interest in enhancing this industry, and the appetite to make it happen. We've had serious conversations at the highest levels with both U.S. and Mexican administrations, academia, and competitors. Everyone recognizes that Mexico should have a more prominent role in the supply chain of medical devices and medications. We see opportunities not just in finished dosage forms, where Mexico already has strength, but upstream in APIs and key starting materials, especially given supply chain risks from Asian markets. The alignment of need and interest in enhancing national industry, combined with access to the world's biggest market that's keen on nearshoring, makes economic and security sense.
EF: What would be your dream project or accomplishment within your tenure, looking ahead to 2030?
AS: We're living in a stellar moment where we can align economic, health, security, and sustainability goals simultaneously. It depends on us and requires the right policy signals to unlock investment at scale. I would like to see Mexico and North America becoming a vertically integrated pharmaceutical hub with much more integration in terms of applied research. The AI revolution happening alongside geopolitical changes allows us to think on a big scale. I can see it enabling personalized medicine at scale, which was unthinkable some years ago. I envision a region integrated where you have all the research capabilities that the United States has, plus Canada's strengths, combined with the population diversity that Mexico offers. This allows for research more tailored to diverse populations. This is an opportunity not only for increasing market size, but for reaching people who have commonly been left behind. We can align policy, technology, and this historic moment we're living in. Technology cannot substitute for making decisions and policies, but it's an enabler. We still need to define that future, and CFM will be there proposing ideas on how to reach it. The concept we're embracing is collective intelligence. If you add the knowledge base we have as a country, the diversity, what the United States and Canada offer, plus AI, we have collective intelligence. What we need to add is a collective purpose to make it real, not just stay at the opportunity level.
EF: What regulatory developments are you seeing that signal new opportunities in the healthcare sector?
AS: The collaboration between the FDA and COFEPRIS represents a significant opportunity that's both promising and achievable. What's particularly encouraging is how these regulatory bodies are working hand in hand to increase regulatory efficiency and ensure we have an aligned regulatory ecosystem. CFM’s members have all observed something different from previous years in terms of the interest and engagement from the FDA to collaborate with COFEPRIS. The harmonization of our regulatory frameworks, including intellectual property protections, will likely serve as the keystone for all these synergies to happen. This regulatory alignment creates a foundation for more efficient healthcare innovation and market access.
