US embassy cable - 03ABUDHABI2380

UNCLAS ABU DHABI 002380 
 
SIPDIS 
 
USDOC FOR 532/OEA/M.CORSEY/DAVID SEVERSON 
ROME FOR CUSTOMS ATTACH 
STATE FOR NEA/ARP - MALENAS 
DUBAI FOR CG AND FCS 
 
E.O. 12958:    N/A 
TAGS: ETTC, TC 
 
SUBJECT: EXTRANCHECK: POST-SHIPMENT VERIFICATION: GULF 
PHARMACEUTICAL INDUSTRIES 
 
REF: USDOC 1648 
 
1.   REFTEL REQUESTED POST CONDUCT A POST-SHIPMENT VERIFICATION 
FOR A TAYLOR WHARTON CRYOSTORAGE SYSTEM WITH GULF PHARMACEUTICAL 
INDUSTRIES. 
 
2.   GULF PHARMACEUTICAL INDUSTRIES, ALSO KNOWN HERE AS JULPHAR, 
IS WELL-KNOWN TO BOTH THE EMBASSY AND CONSULATE IN THE UAE.  IT 
HAS ITS OWN WEBSITE AT WWW. JULPHAR.COM.  THE CHAIRMAN OF JULPHAR 
IS SHEIKH SAUD BIN SAQR AL-QASSIMI, A MEMBER OF THE RULING FAMILY 
OF RAS AL-KHAIMAH.  THE COMPANY WAS FOUNDED IN THE LATE 1960S AND 
IS THE LARGEST PHARMACEUTICAL COMPANY IN THE GULF REGION. THE 
COMPANY HAS SIX MANUFACTURING DIVISIONS, FOUR IN THE DIGDAGA AREA 
OF RAS AL KHAIMAH AND ONE EACH IN ECUADOR AND GERMANY.  THERE ARE 
APPROXIMATELY 1000 EMPLOYEES IN RAS AL KHAIMAH.  95%OF ALL THE 
PRODUCTION AT THE RAS AL KHAIMAH FACILITY IS FOR EXPORT FROM THE 
UAE TO OVER 38 COUNTRIES AROUND THE WORLD. 
 
3.   THE RAS AL KHAIMAH FACILITY IS VERY LARGE AND ACCESS TO IT 
IS STRICTLY CONTROLLED.  ALL VISITORS ARE REQUIRED TO OBTAIN A 
VISITOR'S ID BADGE AND WRITTEN GATE PASS IN THE PASS OFFICE AFTER 
HAVING PRESENTED THE PROPER IDENTIFICATION DOCUMENTS, WHICH ARE 
HELD UNTIL THE PERSON EXITS THE FACILITY.  THE FACILITY HAS ITS 
OWN WATER TREATMENT FACILITY AND UTILITY SUBSTATION. 
 
4.   ON MAY 14, 2003, COMMERCIAL OFFICER MARY O'BRIEN MET WITH 
DR. SAID IBRAHIM, DIRECTOR OF MANUFACTURING (SEE THE WEBSITE FOR 
HIS PHOTO) REGARDING THE TAYLOR WHARTON CRYOSTORAGE SYSTEM.  DR. 
IBRAHIM HAS BEEN WITH JULPHAR SINCE LEAVING EGYPT IN 1998 TO 
ACCEPT THE POSITION AT JULPHAR.  HE HAS 35 YEARS OF EXPERIENCE IN 
THE PHARMACEUTICAL INDUSTRY. UPON ENTERING THE JULPHAR II 
BUILDING COMMOFF HAD TO CHANGE INTO A WHITE LABCOAT, HAIR 
COVERING (FOR NONCONTAMINATION PURPOSES) AND SHOE COVERINGS. 
 
5.   DR. IBRAHIM EXPLAINED TO COMOFF THAT JULPHAR WAS IN THE 
PROCESS OF CONSTRUCTING A BIOTECHNOLOGY LABORATORY IN ANOTHER 
PART OF THE JULPHAR II BUILDING. DR. IBRAHIM HAD THE CONSTRUCTION 
PLANS FOR THE BIOTECH LAB ON HIS DESK. THIS BIOTECH LAB WOULD BE 
USED TO PRODUCE ERYTHROPOEITIN, ALSO KNOWN AS PROCRIT IN THE US 
(MARKETED IN EUROPE AS EPOTIN). THIS DRUG, USED TO TREAT SEVERE 
ANEMIA IN CANCER PATIENTS AND HIV-AZT PATIENTS, IS A NATURAL 
HORMONE.  THE PRODUCTION PROCESS REQUIRES THE USE OF MAMMALIAN 
CELL CULTURES, WHICH MUST BE KEPT FROZEN UNTIL USE.  THE TAYLOR- 
WHARTON CRYOSTORAGE MODEL 24K UNIT WILL BE USED FOR THESE 
MAMMALIAN CELL CULTURES.  DR. IBRAHIM SAID THEY EXPECT TO HAVE 
THE BIOTECH LAB COMPLETED IN 3 TO 4 MONTHS AND ALSO SAID COMMOFF 
WAS WELCOME TO COME BACK WHEN THE LAB IS COMPLETED AND SEE THAT 
THE CRYOSTORAGE UNIT IS IN USE THERE. 
 
6.   DR IBRAHIM THEN TOOK COMMOFF TO THE STORAGE SECTION OF 
JULPHAR II WHERE THE CRYOSTORAGE UNIT IS CURRENTLY BEING KEPT 
PENDING COMPLETION OF THE BIOTECH LAB.  THE UNIT IS APPROXIMATELY 
3X3X3 AND IS VERY HEAVY.  THE SERIAL NUMBER OF THE UNIT IS 555- 
010-V1.  DR. IBRAHIM CONFIRMED THAT THE UNIT WAS BOUGHT FROM 
BEVCO RATHER THAN TAYLOR-WHARTON IN ORDER TO SAVE MONEY.  HE SAID 
IT WAS SHIPPED BY AIR BUT HE DID NOT HAVE THE AIR WAYBILL OR 
OTHER EXPORT DOCUMENTS. 
 
7.   DR. IBRAHIM SHOWED COMMOFF A COPY OF THE INVOICE FROM TAYLOR 
WHARTON TO BEVCO, 651 WEST 600 SOUTH, SALT LAKE CITY, UTAH. THE 
INVOICE WAS STAMPED BY THE TEXAS CHAMBER OF COMMERCE CERTIFYING 
IT TO BE OF U.S. ORIGIN. 
 
8.   ALSO ATTACHED IS WHAT APPEARS TO BE AN INLAND BILL OF LADING 
FROM EXEL OF DALLAS, TEXAS.  ON THIS DOCUMENT THE SHIPPER IS 
LISTED AS KEVIN PETERSON OF INSIGHT EXHIBITS, 1367 SOUTH 700 
WEST, SALT LAKE CITY.  THIS IS A COMPANY SPECIALIZING IN CREATING 
EXHIBITION BOOTHS FOR COMPANIES TO USE AT TRADE SHOWS (WWW. 
INSIGHTEXHIBITS.COM). 
 
9.   THE THIRD-PARTY BILLING ADDRESS IS LISTED AS DANA COONS, 
CHURCH OF LATTER DAY SAINTS, 50 EAST NORTH TEMPLE, SALT LAKE CITY 
(THE SALT LAKE CITY TEMPLE OF THE CHURCH OF LDS). 
 
10.  AS REQUESTED IN REFTEL, THE INTENDED END-USER IS GULF 
PHARMACEUTICALS AND THE INTENDED END USE IS FOR THE STORAGE OF 
MAMMALIAN CELL CULTURES FOR USE IN THE PRODUCTION OF 
ERYTHROPOEITIN.  PLEASE ADVISE IF ANY ADDITIONAL INFORMATION IS 
REQUIRED. 
 
ALBRIGHT