NEW DELHI– Dr. Reddy’s Laboratories announced that its Srikakulam manufacturing facility in Andhra Pradesh has been classified as “Voluntary Action Indicated” (VAI) by the U.S. Food and Drug Administration (USFDA), signifying the successful closure of the agency’s recent inspection.
The Hyderabad-based pharmaceutical company informed stock exchanges that it received the Establishment Inspection Report (EIR) from the USFDA on October 20. The VAI classification indicates that while minor issues were observed during the inspection, the regulator does not plan to take any enforcement or administrative action.
“The company has received the Establishment Inspection Report (EIR) on October 20, 2025. The USFDA has classified the inspection outcome as ‘Voluntary Action Indicated (VAI),’” Dr. Reddy’s said in its exchange filing, confirming that “the inspection is officially closed.”
The VAI status is considered favorable compared to an “Official Action Indicated” (OAI) classification, which could lead to warning letters or import restrictions.
Earlier, the Srikakulam facility underwent both a Good Manufacturing Practices (GMP) inspection and a Pre-Approval Inspection (PAI) by the U.S. regulator.
Following the announcement, shares of Dr. Reddy’s Laboratories rose 2.10 percent to close at Rs 1,282.40 on Monday. Over the past five days, the stock gained Rs 45.90, or 3.7 percent, though it remains down roughly 6 percent year-to-date.
In the past six months, Dr. Reddy’s shares have delivered a 9.14 percent return, while over the past year they declined by 4.07 percent, according to market data. (Source: IANS)