“If financial performance is the Life of the Company and our People it’s Heart, then Research and Development is the Creative Soul of Lupin. ”
	Mr. Nilesh Gupta Group President & Executive Director

Research and Development is at the core and is the most critical part of any pharmaceutical company. At Lupin we see R&D differently. It is fundamentally about creativity, originality and being aware of what is really required. Being relevant and meaningful to the world in which we live, that is Being Lupin.

Our heritage forms the backbone of our research platform. But even that is not enough in today’s rapidly changing, global environment. We can’t just work on customer needs and then try to give that to them. By the time we get it done, the markets will, and do change. We need to mine our experience, look deeper into realities, drive forward in our thinking and deliver products and platforms that will be meaningful when they become realities. In addition, we must create genuinely strong intellectual property that hedges our investments and ensures shareholder value.

This type of endeavour cannot be successful in isolation. It is our people who have lead from the front and have been the moving force. We have to recruit, motivate and reward the best and at the same time deliver an environment where excellence is expected. This is the global R&D platform that we have built and delivered at Lupin Research Park in Pune. Lupin Research Park today houses a pool of over 1000 scientists.

During FY 2011, the Company invested 8.5% of its net sales for R&D and related spends, amounting to `4,834 million.

This was a year of increased investments and sharper focus across the entire Lupin R&D value chain. Every aspect of the research program underwent rapid ramp-ups amidst deep preparation for the opportunities that lie ahead; be it improved quality of product filings from Generics Research; Landmark out-licensing deals from our Advanced Drug Delivery Systems Research; the creation of a strong IP estate around our filings and competent Intellectual Property Management by our IPMG group; and the strengthening and launch of new programs in the Novel Drug Discovery and Development Program or heightened activity in the Company’s Biotechnology Research. The relentless momentum in our R&D programs has enabled Lupin to enter a new phase in its journey to evolve as a global pharmaceutical powerhouse, a Company built on proprietary technologies and innovations which will go a long way in helping us ink our own destiny for the long term.

Lupin's Research and Development covers the following broad areas:

• Generics Research
• Process Research
• Pharmaceutical Research
• Advanced Drug Delivery Systems (ADDS) Research
• Intellectual Property Management
• Novel Drug Discovery and Development (NDDD)
• Biotechnology Research

Key Highlights:

• Lupin filed 21 ANDA’s and 7 DMF’s with the US FDA and received 8 approvals during FY 2011. Additionally, 33 MAA’s were filed with European Authorities. The Company also filed a record 9 first-to-files filings during the year.
• Lupin extended its arrangement with Salix Pharmaceuticals by granting worldwide rights (excluding India and select geographies) to Salix for its proprietary bioadhesive technology for Rifaximin.
• The Company’s Clinical Research arm, Lupin Bioresearch Center (LBC) underwent a successful US FDA inspection in October 2010.
• Lupin’s new state of the art Pharmaceutical R&D center was established in Aurangabad. The centre commenced operations in September, 2010.
• New Development labs for our NDDD group commenced development work in June 2010. A new In-vivo (animal pharmacology) lab was commissioned in November 2010.
• 10 New drug discovery Research programs were initiated with significant progress made during the year. Multiple of these programs offer first-in-class opportunities, with 6 programs having already progressed to lead-to-clinical candidate phase.

Lupin Research Park		Kyowa Research Center