- Global Pharma News & Resources

ACG Signs MoU With Applied DNA Sciences to Enhance Capsule Authentication and Traceability Technology for Pharmaceutical and Nutraceutical Industry

Applied DNA Sciences, Inc., and ACG have signed a memorandum of understanding (MoU) that will allow ACG to utilize Applied DNA's proven SigNature® molecular tagging and authentication technologies to develop molecularly tagged empty hard-shell capsules for offering to ACG's customers to enhance product traceability and authentication. The MoU is expected to be followed by a definitive agreement.

The empty capsules market witnessed healthy growth during the last decade and is expected to grow at a CAGR of 7.2% between 2016 and 2021 to reach USD 2.13 billion by 2021. 

The development of molecularly tagged empty hard-shell capsules will allow ACG's customers to enhance every distribution channel's integrity. It will also provide pharmaceutical companies with increased and assured capabilities when investigating suspected counterfeit medicines and help enhance patient and regulator confidence in pharmaceutical companies and their supply chains.

Applied DNA's SigNature technology allows the embedding of a bespoke molecular tag into one or more capsule component materials. Each customer's molecular tag can be formulated to specifically adhere tenaciously to a wide variety of substrates and is optimized to allow for authentication at any point in the pharmaceutical supply chain.

On the association between ACG and Applied DNA, Mr. Selwyn Noronha, CEO, ACG Capsules said, "With the increasing threat of counterfeits in the pharmaceutical supply chain and regulations mandating companies to deploy strategies such as serialization and to have greater awareness, there is a need for innovative and effective solutions for product authentication, track and trace and supply chain integrity. We strongly believe that our association with Applied DNA is a step towards nipping the counterfeiting problem that is grappling the industry today. With the introduction of stricter regulatory norms and measures across the globe, the pressure lies increasingly in improving existing supply chain safeguards. The association will equip pharmaceutical companies with greater capabilities to thwart the threat of counterfeits by providing amplified traceability solution across the supply chain."

Elaborating on the association, Dr. James Hayward, President and CEO of Applied DNA said, "We are proud to announce the signing of the MoU and are excited by ACG's development of on-dose authentication for hard-shell capsules powered by the Company's SigNature molecular tagging and authentication technologies. The ability to forensically test a capsule in the field and quickly prove its provenance is a powerful tool for all nodes of the pharmaceutical supply chain and will ensure a more secure and traceable global pharmaceutical supply chain."