Inside V&S Pharmaceuticals: A Leader in Pharmaceutical Production and Supply

How a Trinidad Pharmacist’s 20-by-20-Foot Startup Evolved into a Regional Manufacturer Navigating Foreign Exchange Crises and Changing Consumer Demands

In a modest 20-by-20-foot space nearly five decades ago, pharmacist Varune Persad spotted an opportunity that would transform into one of Trinidad and Tobago’s enduring pharmaceutical success stories. Today, V&S Pharmaceuticals employs almost 100 people and manufactures over 25 products, with a total portfolio exceeding 100 items distributed across the Caribbean.

“I saw a little niche market that we could capitalize on,” Varune recalls of the company’s 1976 beginnings. “The retail pharmacies were doing their own compounding on a small scale in each dispensary, and that took up their time. We could relieve them of that.” His timing proved fortuitous. Trinidad’s oil boom was driving unprecedented growth in retail pharmacy, creating demand for a specialized manufacturer.

The company’s evolution follows the broader transformation of Caribbean pharmaceutical markets, which are projected to reach US$3.5 billion by 2029. Yet V&S remains an exception in Trinidad and Tobago, where imports dominate the pharmaceutical landscape. According to recent data, the country imported US$38 million worth of pharmaceutical products in 2022 while exporting less than US$500,000. 

Against this backdrop, V&S has not only survived but expanded steadily. “We started manufacturing simple products like ointments and repacking some pharmaceutical products,” Varune explains. “As the months and years went by, we gradually increased the number of products as we saw the needs from different pharmacy outlets.”

The Business Model That Built an Empire

V&S Pharmaceuticals operates on a straightforward yet effective principle: identifying market needs and fulfilling them efficiently. The company manufactures 25 to 30 products directly while repackaging others to expand their range beyond 100 items. This dual approach allows them to serve diverse customer needs across Trinidad and Tobago’s 250-plus pharmacies.

“We supply to retail outlets within Trinidad & Tobago and some Caribbean Islands. Apart from increasing sales, this assists us with earning foreign currency that is needed particularly for the purchase of raw materials,” Varune explains. 

The company’s product range spans from simple ointments, creams and antiseptic solutions to specialized formulations, each developed in response to specific market demands. For this, we rely on feedback from the retail outlets. This collaborative approach distinguishes V&S in a market which is dominated by imported pharmaceuticals.

Their focus on quality and service has built a reputation that extends beyond Trinidad’s borders. “We pride ourselves on service. We have a reputation for providing excellent service,” Varune emphasizes. “When you introduce a product and you see it’s being accepted and liked by the majority of the population, you feel good about that.” This customer-centric philosophy has enabled V&S to gradually expand into other Caribbean islands.

Expanding Product Lines for Modern Markets

Product development drives V&S Pharmaceuticals’ growth strategy, with recent innovations reflecting evolving consumer preferences for natural ingredients and convenient delivery methods. The company has strategically expanded existing product lines while introducing entirely new formulations to capture market share in the growing Caribbean pharmaceutical sector.

“We produce a rosewater facial mist with rosewater and glycerin,” explains Shivani Persad, a director at the company. “We have now expanded that line, so we have rosewater with aloe vera and rosewater with vitamin E.” This diversification aligns with regional trends toward natural and organic products, a shift that has accelerated across Caribbean markets in recent years.

The company has also modernized traditional formulations to meet contemporary consumer expectations. “We have a pain and joint ointment that we make in a petroleum-based formulation,” Shivani notes. “Now we have the same pain relief in a spray form.” Such innovations address practical concerns about ease of application while maintaining therapeutic effectiveness.

V&S’s pipeline includes several products awaiting market launch. Milk of Magnesia, which was previously imported, is one such product as the company has recently received local approvals to begin production. Varune adds that the company will also be launching a Sports Gel and Zinc and Castor Oil cream which will expand their reach into athletic and skin care markets.

“Product development is what I’m most passionate about,” Varune emphasizes. “Seeing new products in the market, and when you introduce a product and see it’s accepted, that builds our reputation for quality and service.”

Growth Across Island Markets

V&S Pharmaceuticals approaches regional expansion with measured optimism, leveraging trade missions to establish footholds across the Caribbean’s US$2.8 billion pharmaceutical market. While the company currently supplies select islands, their strategy focuses on deepening market penetration rather than rapid geographic expansion.

“Right now, we’re focused on doing some of the trade missions that our Trinidad and Tobago Manufacturers’ Association coordinates on a regular basis,” says Viraj Persad, the company’s Operations Manager. “Sometimes they may do perhaps six per year. These trade missions basically reach out to possible clients in the various islands and set up meetings relevant to what suppliers in Trinidad have to offer.”

The company faces the challenge of varying product preferences across different territories. Although V&S’s products are not yet present in all the Caribbean Islands, the company is working towards achieving this very soon.

When asked about their current progress, Viraj confirms they remain in exploratory stages. “Yes, we’re in the initial stages, putting our feelers out, making those connections, determining market viability,” he says. The trade missions serve as crucial networking opportunities where V&S representatives meet potential clients to assess compatibility. “If we are a match, then we can look at whether we want to sell to them directly or establish distribution chains with them,” Viraj Persad explains.

This methodical approach mirrors the complexities of Caribbean pharmaceutical distribution, where each island nation maintains distinct regulatory requirements and market preferences. Despite these challenges, the company views regional expansion as crucial to its development.

Supply Chain and Modernization Challenges

Foreign exchange shortages pose the most significant threat to V&S Pharmaceuticals’ operations as the company sources raw materials from Europe, USA, India, and China, making foreign currency access critical for maintaining production. This is a challenge shared by many Trinidad and Tobago businesses as the country grapples with persistent currency access issues. The International Monetary Fund has identified addressing these shortages as a priority for the nation’s economic stability.

Despite these constraints, V&S remains committed to modernization. Following their participation in PACK EXPO Vegas in 2023, where five company representatives scouted automation solutions, they continue pursuing technological upgrades within space limitations. “We have a bit of constraint when it comes to space within the facilities,” Viraj explains. “Therefore, we try to get suppliers to adjust or recommend machinery that would be suitable for our operation without putting us under any constraints or having us revisit any infrastructure work.”

On artificial intelligence integration, Viraj offers a pragmatic assessment. “At this point I don’t think we’re ready for AI intervention. I personally use AI a lot, but that’s more as a consultative measure. With regards to AI integrated with machinery, we are not at that stage yet.”

Targeting New Demographics and Internal Transformation

V&S Pharmaceuticals recognizes that sustaining growth requires both external market development and internal organizational evolution. With pharmaceutical companies globally investing heavily in customer engagement transformation, V&S has enlisted consultancy services to modernize their approach to younger consumers.

“We realized that we were in a spot where we needed fresh eyes to tell us what we need to reach the next generation within the region,” Viraj acknowledges. “Our products are largely legacy products, and we need to find creative ways to be able to target younger clients.” The company has engaged a marketing consultant to develop strategies for demographic expansion, though implementation remains in early stages. “Right now, we’re actually in the consulting phase where we meet with our consultant and she’s building a portfolio,” he explains.

Beyond marketing transformation, V&S plans significant organizational restructuring. “We are looking at infrastructurally enhancing our organization both physically and with regards to our organizational structure,” says Viraj. “We realize there are a few flaws that we have to fix. There may be policies that need to be updated, organizational additions, edits, job specification changes. It’s a lot of different moving components that we need to revise, revamp, and enhance.”

For the next 18 months, the company has clear priorities. “Our focus right now is on developing new products as well as expanding our export capabilities.” Varune states. 

As V&S Pharmaceuticals approaches its golden anniversary, the company exemplifies how local manufacturers can thrive despite import-dominated markets. By balancing innovation with operational excellence, this family business continues evolving to meet Caribbean healthcare needs while securing its place in the region’s pharmaceutical future.

At a Glance

Who: V&S Pharmaceuticals Ltd.

What: Pharmaceutical manufacturer and distributor producing 25-30 products with a portfolio exceeding 100 items

Where: Frederick Settlement Industrial Estate, Caroni, Trinidad and Tobago

Website: www.vspharmco.tt

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