Pharmaceutical Sector (2)

8/19/2019 Pharmaceutical Sector (2)

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PHARMACEUTICAL SECTOR

“The pharmaceutical industry develps! prduces! and mar"ets dru#s r pharmaceutical

cmpanies may deal in #eneric r $rand medicatins and medical devices%&

Leadin# Pharmaceutical prducer

Indian pharmaceutical sectr accunt s 'r a$ut (&) * ' the #l$al pharmaceutical industry in

value terms +,* in vlume terms&

One ' the hi#hest e-prts

India accunts 'r (,* ' #l$al e-prt in #enerics&

Amn# 'astest #r.in# industries

The cuntry/s pharmaceutical industry is e-pected e-pand at a CA0R ' ((&)( * ver (,+1 2

(, $atch t reach US3 (1, $illin&

Rapidly #r.in# healthcare sectr

Indian healthcare sectr! On ' the 'astest #r.in# sectrs! is e-pected t advance at a CA0R '

+4 * t reach US3 (1, $illin ver (,,5 2 (, &

0r.in# #enerics mar"et

The #enerics mar"et is e-pected t #r. t US3 (6&( $illin $y (,+6 'rm US3 +)&( $illin in

(,+17 India/s #enerics mar"et has immense ptential 'r #r.th&

Ran"ed 1th in terms ' attractin# 83I

Attracted 1&+9 * ' the ttal 83Is int India 'rm April (,,, t May +1&

Cumulative 83I in'l.s .rth US3 +:&: $illin 'rm April (,,, t May +1&


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STRUCTURE O8 PHARMA SECTOR I; I;3IA


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I;3IA; PHARMA SECTOR REE;UES TRE;3I;0

;ORTH

The Indian pharmaceutical mar"et increased at a CA0R ' +(&49 * in (,+1 'rm US3 6 $illin

in (,,1 ! and is e-pected t e-pand at a CA0R ' +1&9( * t US3 11 $illin $y (,(, &

>y (,(, ! India is li"ely t $e amn# the tp three pharmaceutical mar"ets $y incremental

#r.th and si-th lar#est mar"et #l$ally in a$slute si@e&

India/s cst ' prductin is si#ni'icantly l.er than that ' the US and almst hal' ' that '

Eurpe& It #ives a cmpetitive ed#e t India vers thers&

Increase in the si@e ' middle class husehlds cupled .ith the imprvement in medical

in'rastructure and increase in the penetratin ' health insurance in the cuntry .ill als

in'luence in the #r.th ' pharmaceutical sectr&


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0E;ERICS 3RU0S 8ROM TH LAR0EST SE0ME;T O8 I;3IA;

PHARMA MARBET

ith 4+ * ' mar"et share Din terms ' revenues ! #eneric dru#s 'rm the lar#est se#ment ' the

Indian pharmaceutical sectr &

India supply (, * ' #l$al #eneric medicines #l$ally and e-pected t e-pand even 'urther in

cmin# years&

Over the Cunter medicines and Patented dru#s cnstitute +9 * and +, * ! respectively ! ' ttal

mar"et revenues ' US3 (, $illin &


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A;TI 2 I;8ECTIE 3RU0S LEA3 THE PHARMA MARBET

Anti 2 in'ective dru#s cmmand the lar#est share D+6 * in the Indian pharma mar"et &

The cardivascular se#ment represents +: * ' the mar"et share7 its cntri$utin is li"ely t rise

due t the #r.in# num$er ' cardiac cases in India &

0astr 2 intestinal cntri$utes arund ++ * ' the ttal value ' pharma industry in India& ith

increasin# num$er ' research in #astrenterl#y! se#ment is #in# t #r. at si#ni'icant pace

in cmin# years&

Tp 'ive se#ments cntri$ute nearly 14 * t the ttal dru#s cnsumptin&


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PHARMA EFPORT TO CO;TI;UE ITH ;ESSI;0 HI0H

0ROTH

Indian pharma cmpanies are capitalisin# n e-prt pprtunities in re#ulated and semi 2

re#ulated mar"ets&

The Ministry ' Cmmerce tar#ets t e-prt US3 (1 $illin .rth ' pharmaceutical in (,+6&

Indian dru#s are e-prted t mre than (,, cuntries in the .rld! .ith the US as the "ey

mar"et&

India is the .rld/s lar#est prvider ' #eneric medicines7 the cuntrys #eneric dru#s accunt 'r

(,* ' #l$al #eneric dru# e-prtsa &

In terms ' value! e-prts ' pharmaceutical prducts increased at a CA0R ' (6&+ * t US3

+,&+ $illin durin# 8G ,6 2 +: &

The Americas accunted 'r arund :) * ' Indian pharma e-prts in 8G +: 'll.ed $y

Eurpe D(6 * and Asia D (, * &

E-prts t A'rica increased at a CA0R ' (+ * 'rm 8G ,9 t 8G +:! cntri$uted mainly $y

e-prt ' anti? malarial and anti retr?viral dru#s&

3urin# the same perid imprts ' pharmaceutical prducts rise at a CA0R ' (1&) * t US3

+&5 $illin&


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COMPETITIE MARBET 7 TOP 8OUR 8IRMS ACCOU;T 8OR

OER (, * MARBET SHARE

3r Reddys has the lar#est share D ()&)1 * in the Indian pharma mar"et .ith sales ' US3 +&66

$illin durin# March (,+1 &

Lupin has the secnd lar#est share ' (:&4+ * in the Indian pharma mar"et .ith sales ' US3

+&11 $illin 'r march (,+1 sales ! ran"s third in the mar"et &

Aur$ind ran"s 'urth in the mar"et .ith a revenue $ase ' US3 +&+4 $illin 'r March (,+1

sales &

hile these tp 'urs cmpanies cllect (, * mar"et share ! tp +, cmpanies cmprise nearly

:9 * ' the mar"et share &


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;OTA>LE TRE;3S I; THE I;3IA; PHARMACEUTICAL

SECTOR

RESEARCH A;3 3EELOPME;T

Indian pharma cmpanies spend 5?++ * ' their ttal turnver n R 3 &

E-penditure n R 3 is li"ely t increase due t the intrductin ' prduct patents 7 cmpanies

need t develp ne. dru#s t $st sales &

EFPORT REE;UE

Indias pharmaceutical e-prt mar"et is thrivin# due t strn# presence in the #enerics space &

Pharmaceuticals E-prts Prmtin Cuncil e-pects pharma e-prts t reach US3 (1 $illin in

(,+1 &


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OI;T E;TURES

Multinatinal cmpanies are clla$ratin# .ith Indian pharma 'irms t develp ne. dru#s &

P'i@er partnered .ith Aur$ind Phama t develp #eneric medicines &

Si- leadin# pharmaceutical cmpanies have 'rmed an alliance LAJOR t share their $est

practices ! s as t imprve e''iciency and reduce peratin# csts &

EFPA;SIO; >G I;3IA; PLAGERS A>ROA3

Cipla ! the lar#est supplier ' anti malarial dru#s t A'rica & set up a US3 :( $illin plant in

A'rica 'r the prductin ' anti retrviral and anti malarial dru#s &

Ran$a-y ! $ecme the .rld 'i'th lar#est cmpany .rld.ide .ith havin# )1 manu'acturin#

sites mre than :,,, mar"eted prduct &

PATE;TS ACT

Increased incetives t dmestics 'irms t cnduct R 3 &

Increased li"ehd ' technl#y trans'er 'rm develped natins &

PRO3UCT PATE;TS

The intrductin ' prduct patents in India (,,1 #ave a $st t the discvery ' ne. dru#s &

India reiterated its cmmitment t IP pr


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STRATE0IES A3OPTE3

COST LEA3ERSHIP


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Players in the sectr are tryin# t acheive cst leadership in varius .ays & 'r e# sunpharma is

tryin# t acheive the same $y

ertical inte#ratin K Cmple- API ! .hich reuires special s"ills and technl#y ! are develped

and scaled up 'r $th API and dsa#e 'rms &

3I88ER;TIATIO;

Players in the sectr are tryin# t di''erntiate themselves $y investin# heavily n R 3 e''rts &

'r e-ample Sun Pharma is tryin# t develp technically cmple- APIs ! such as sterids ! se-

hrmnes ! peptides ! car$hydrates and ta-anes ! .hich special s"ills and technl#y &

3r& Reddy is technl#y plat'rms& It accuired Octplus ;& ! a netherland $ased cmpany t

#et access t Ply Lactic ? C? 0lyclic acid technl#y 'r 'rmulatin ' cmple- in


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SUPPLG 2 SI3E 3RIERS O8 I;3IA; PHARMA SECTOR

LAU;CHE3 O8 PATE;TE3 3RU0

8ll.in# the intrductin ' patent prducts ! several multinatinal cmpanies are e-pected t

launched patented dru# in India &

0r.th num$er ' li'estyle deaseses in India culd $st the sale ' the dru# in this se#ment &

ME3ICAL I;8RASTRUCTURE

Pharma cmpanies have increased spendin# t tap rural mar"ets and develp $etter medical

in'rastructure &

Hspitals mar"et si@e is e-pected t increase $y US3 (,, $illin $y (,()

SCOPE I; 0E;ERICS MARBET

India/s #eneric dru# accunt 'r (, * ' #l$al e-prt in terms ' vlume ma"in# the cuntry

the lar#est prvider #enerics medicines #l$ally &

India/s #eneric mar"et is e-pected t reach US3 (6&+ $illin $y (,+6 $y US3 ++&+ $illin in

(,++ & the cuntry/s #enerics mar"et has immense ptential 'r #r.th &

OER 2 THE 2 COU;TER 3RU0S D OTC 3RU0S

India/s OTC dru# mar"et is e-pected t rise at a CA0R +6&6 * t US3 6&6 $illin ver (,,5 t

(,+6 &

Increased penetratin ' chemists ! especially in rural re#in ! .uld increase the availa$ility '

OTC dru#s in the cuntry &

PATE;T EFPIRG

>et.een (,+, and (,+1 patent dru#s .rth US3 +4+ $illin are estimated t # '' patent !

leadin# t hu#e sur#e in #eneric prduct &

The ne.ly availa$le mar"et .ill $e 'illed $y #enerics prduct.hich .uld prvide #reat

pprtunity t Indian cmpanies &


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8AOURA>LE POLICG MEASURES SUPPORT 0ROTH

RE3UCTIO; I; APPROAL TIME 8OR ;E 8ACILITIES

Steps ta"en t reduce apprval time 'r ne. 'acilities &

;OC 'r e-prt licence issued in ( .ee"s cmpared t +( .ee"s earlier &

COLLA>ORATIO;S

MOUs .ith US83A ! HO ! Health Canada etc& t $st #r.th in the Indian Pharma sectr $y

$ene'ittin# $y their e-perts &

SUPPORT 8OR TECH;OLO0G UP0RA3ES A;3 83Is

Jer duty 'r technl#y up#rades in the pharmaceutical sectr thru#h the E-prt Prmtin

Capital 0ds D EPC0 scheme &

Permissin 'r +,,* 8rei#n 3irect Investment D83C

0vernment is plannin# t rela- the 83I mrms in pharmaceutical sectr &

I;3USTRG I;8RASTRUCTURE

0vernment ' India is plan t set up US3 6), millin venture capital 'und t $st dru#

discvery stren#then pharma in'rastructure &

PHARMA ISIO; (,(,

Pharma visin (,(, $y #vernment/s department ' pharmaceutical aims t ma"e India a ma

Pharmaceutical Sector (2)

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