Pre 1970 • • • • Phase I Early Years Market share domination by foreign companies Relative absence of organized Indian companies 1970-1980 • • • • • Phase II Government Control Indian Patent Act –1970 Drug prices capped Local companies begin to make an impact 1980-1990 • • • • • Phase III Development Phase Process development Production infrastructure creation Export initiatives .

1990-2000 • Phase IV • Growth Phase • Rapid expansion of domestic market • International market development • ResearcAh orientation 2000-2010 • Phase V • Innovation and Research • New IP lawA • Discovery Research • Convergence .

Acute therapies make up about 60% of the market. sales o f chronic therapies (i.e. In terms of value. Globally it ranks 4th in terms of volume with a share of 8% in the world pharmaceutical market. Key therapeutic segments of Indian pharmaceutical industry include anti-infective. it is expected that with the changing lifestyle and aging population. cardiovascular) are growing rapidly. .PRESENT STATUS OF INDIAN PHARMACEUTICAL INDUSTRY The annual turnover of the Indian pharmaceutical industry is over US$ 11 billion. gastrointestinal and cardio-vascular. diabetes. it ranks 14th. However.

followed by the Americas region (25%). It has grown at a CAGR of 14% in the last decade. UK and Canada. Europe is the biggest export destination for Indian pharmaceuticals accounting for more than 30% of the total exports.EXPORTS: The pharmaceutical industry is also showing good performance in terms of exports. . Germany. Major export markets include highly regulated markets such as USA.

Drug Price Control Order (1995). Indian Patents Act (1970). Besides. Pharmaceutical Policy (2002). which will be finalized after consultation with the stakeholders.Government policies such as Drugs and Cosmetics Act (1940). The Government has also formulated a Draft National Pharmaceutical Policy (2006). Drugs Policy (1986). the Government has also facilitated the growth of the Indian pharmaceutical industry through institutional framework and encouraging investments in R&D. have played a major role in the growth of Indian pharmaceutical Industry. Indian Patents (Amendment) Act (2005). .

MARKET SEGMENTATION .

aggressive market creation. and as a location for clinical trials.THE CHANGING SCENARIO India to become an outsourcing partner in manufacturing and R&D. Increase in insurance coverage. growth in the income of the Indian population and steady government investment into medical infrastructure Has further propelled the growth of the industry. and a potential partner in others. . The Indian economy is growing strongly and healthcare is expanding to meet the needs of a growing population with :changing disease profile. such that it is on the threshold of becoming a competitor of global Pharmaceutical companies in some key areas.

and is expected to reach 6. improving the quality of medical care &training  increasing public expenditure on healthcare to 2-3% of GDP. up from 4.66% in the year 2010. It has launched policies that are aimed at: building more hospitals. Furthermore. . GDP growth.THE MAJOR REASONS FOR GROWTH OF PHARMA INDUSTRY IN INDIA The Indian economy is growing fast.17% in 2005.28% in 2015. up from a current low of 1%. India’s share in the world GDP has been steadily in creasing. has reached 9. and is valued at US$1. boosting local access to healthcare. The Indian government has been making efforts to improve nationwide provision of healthcare.430 trillion in 2010.

. Growing middle class with higher purchasing power.  Changing disease profile  Healthcare Insurance.

• Rapid OTC & generic market. OPPORTUNITIES • Global demand for genetics rising. • Lack of data Protection. • Investment from MNC’s. highly skilled set of English speaking labor force • Growing treatment naïve patient population WEEKNESS • Poor all-round Infrastructure • Stringent price control. • PPP for strengthening infrastructure . • Rapid OTC & generic market. • PPP for strengthening infrastructure THREATS • Global demand for genetics rising. • Increased penetration in the non metro market • Increase in health care insurance. • Increased penetration in the non metro market • Increase in health care insurance. • Investment from MNC’s.SWOT ANALYSIS STRENGTH • Higher GDP growth • Cost competitiveness • Low cost.

Changing paradigm: Indian pharmaceutical industry Revenues from domestic market pharmaceutical revenues in 2006-07 dominated the total Exports contribution is expected to surpass the domestic turnover by 2010 The pharma sector would witness an upswing in the revenues from service segment due to the increase in outsourcing of Contract research & manufacturing services (CRAMS) to India. .

57% .43% DOMESTIC.6% 2006 PRODUCTS.88% EXPORT.SERVICES.6.62% DOMESTIC.38% EXPORT.4% PHARMACEUTICAL INDUSTRY SERVICES.12% 2010 PRODUCTS.93.

TOP 10 PHARMACEUTICAL COMPANIES OF INDIA .

TOP 20 BRANDS .

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