Indian Pharma Industry
Introduction
Globally, the Indian pharmaceutical industry is ranked third largest in volume terms and 10th largest in value terms. The sector is highly knowledge-based and its steady growth is positively affecting the Indian economy. The organized nature of the Indian pharmaceutical industry is attracting several companies that are finding it viable to increase their operations in the country.
The Indian pharmaceutical industry is highly fragmented with about 24,000 players (330 in the organized sector). The top ten companies make up for more than a third of the MARKET
Indian pharma companies have a large chunk of their revenues coming from exports. While some are focusing on the generics MARKET in the US, Europe and semi-regulated markets, others are turning their attention to custom manufacturing for innovator companies. Biopharmaceuticals is also increasingly becoming an area of interest given the complexity in manufacture and limited competition.
Market Size
India 's drugs and pharmaceuticals industry is expected to grow at a compound annual growth rate (CAGR) of 14 per cent to reach a turnover of Rs 2.91 trillion (US$ 47.06 billion) by 2018.
The domestic drugs industry, which is valued at Rs 1.6 trillion (US$ 25.87 billion) at present, according to Care Ratings, is also expected to grow in the local MARKET with aggressive rural penetration by drug makers, increased government spending on health, and growing health awareness among people.
India exports pharmaceutical products to more than 200 countries. Pharmaceutical exports are expected to cross the Rs 1 trillion (US$ 16.17 billion) mark this year. "The growth would be around 15 per cent and is driven by formulation exports," said Dr PV Appaji, Director-General, Pharmaceutical Export Promotion Council (Pharmexcil). During 2013-14, pharma exports stood at Rs 90,000 crore (US$ 14.55 billion). Out of this, the SHARE of formulations was 71 per cent.
India currently exports drug intermediates, Active
Globally, the Indian pharmaceutical industry is ranked third largest in volume terms and 10th largest in value terms. The sector is highly knowledge-based and its steady growth is positively affecting the Indian economy. The organized nature of the Indian pharmaceutical industry is attracting several companies that are finding it viable to increase their operations in the country.
The Indian pharmaceutical industry is highly fragmented with about 24,000 players (330 in the organized sector). The top ten companies make up for more than a third of the MARKET
Indian pharma companies have a large chunk of their revenues coming from exports. While some are focusing on the generics MARKET in the US, Europe and semi-regulated markets, others are turning their attention to custom manufacturing for innovator companies. Biopharmaceuticals is also increasingly becoming an area of interest given the complexity in manufacture and limited competition.
Market Size
India 's drugs and pharmaceuticals industry is expected to grow at a compound annual growth rate (CAGR) of 14 per cent to reach a turnover of Rs 2.91 trillion (US$ 47.06 billion) by 2018.
The domestic drugs industry, which is valued at Rs 1.6 trillion (US$ 25.87 billion) at present, according to Care Ratings, is also expected to grow in the local MARKET with aggressive rural penetration by drug makers, increased government spending on health, and growing health awareness among people.
India exports pharmaceutical products to more than 200 countries. Pharmaceutical exports are expected to cross the Rs 1 trillion (US$ 16.17 billion) mark this year. "The growth would be around 15 per cent and is driven by formulation exports," said Dr PV Appaji, Director-General, Pharmaceutical Export Promotion Council (Pharmexcil). During 2013-14, pharma exports stood at Rs 90,000 crore (US$ 14.55 billion). Out of this, the SHARE of formulations was 71 per cent.
India currently exports drug intermediates, Active
References: Consolidated FDI Policy, Department of Industrial Policy & Promotion (DIPP), Press Information Bureau (PIB), Media Reports, Pharmaceuticals Export Promotion Council