1. By Abhishek Sharma
Submitted To: RVM Finishing School & Consultancy

2.  Indian Pharmaceutical Evolution
 Pharmaceutical Market(CDSCO)
 Major Players
 SWOT Analysis
 GDP Relation
 Future
Submitted To: RVM Finishing School &
COnsultancy

3. Indian Pharmaceutical Industry Evolved in
Five Phases
 Phase 1- Early Years (1950-1970)
Foreign companies dominating the Market
Absence of organized Indian companies
 Phase 2 – Government Control (1970-1980)
Indian Patent Act-1970
Drug prices capped
Local companies begin to make impact
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4.  Phase 3 – Development Phase (1980-1990)
Development in process
Infrastructure creation
Initial stage of export market
 Phase 4 – Growth Phase (1990-2000)
Expansion of domestic Market
Development of international Market
Development in research
 Phase 5 – Innovation and Research (2000-2010)
IP law
Discovery research
Convergence
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COnsultancy

5. Submitted To: RVM Finishing School &
COnsultancy

6.  Industry size Rs. 1 Lakh Crs approx. ($20 bn.) and is
growing at the rate of 14%
 Domestic market size stands at 58 Thousand Crs
approx. equivalent to US $11.6 bn
 Export is approx Rs 42 Thousand Crs ($9 bn.)growing
at the rate of 10% p.a.
 Import is approx Rs 12,500 Crs ($2.2 bn.)
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7.  India is 3rd largest in terms of volume 13th in terms of
value
 Export of Biotech products and Biopharmaceuticals
US $1.36 bn.
 India is 800 WHO-GMP certified and 172 US FDA
Approvals along with 153 EDQM certified facilities
 India has the largest number of manufacturing
facilities outside US
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8.  Drugs from India exported to more than 200 countries
 Vaccines from India are exported to more than 151
countries
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9.  Sun Pharma
Sun Pharma has market Capitalization around
Rs 73,018.88 Cr.
 Cipla
Cipla has market capitalization of around Rs 33,280 Cr.
 Dr Reddys Labs
Dr. Reddys Lab has market capitalization of around
Rs 31,106.79 Cr.
 Lupin
Lupin has market capitalization of Rs 26,196 Cr.
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10.  Strengths
 Cost effective
 Strong Manufacturing Base
 Ability of high quality skilled workforce
 Excellent marketing and distribution network
 Diverse ecosystem
 Weakness
 Less investment is research and development
 Lack of coordination between industry and academic
 Negligible expenditure on healthcare in the country
 Manufacturing of fake and low quality medicines
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11.  Opportunities
 Increased export potential
 Marketing tie ups with multinational companies to sell
their products in domestic market
 Immense scope to position India as a centre for
international clinical trials
 Key player in global pharmaceutical R&D
 Export of generic drugs to developed market
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12.  Threats
 Product patent regime is a major threat to domestic
industry unless the industry takes up R&D initiative
aggressively
 Drug price control order puts undue pressure on
product prices, affecting the profitability of
pharmaceutical companies.
 The new MRP based excise duty regime threatens the
business of smaller pharmaceutical companies
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COnsultancy

13.  Pharma industry generally grows at about 1.5-1.6 times
the Gross Domestic Product
 Globally, India ranks third in terms of manufacturing
Pharma products by volume
 According to a study by FICCI-Ernst & Young India will
open a probable US$ 8 billion market for MNCs selling
expensive drugs by 2015
 The study also says that the domestic Pharma market
is likely to reach US$ 20 billion by 2015
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COnsultancy

14.  The Minister of Commerce estimates that US$ 6.31
billion will be invested in the domestic pharmaceutical
sector
 Public spending on healthcare is likely to raise from 7
per cent of GDP in 2007 to 13 per cent of GDP by 2015
 Dr Reddy's Laboratories has tied up with
GlaxoSmithKline to develop and market generics and
formulations in upcoming markets overseas.
 Due to the low cost of R&D, the Indian pharmaceutical
off-shoring industry is designated to turn out to be a
US$ 2.5 billion opportunity by 2012
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COnsultancy

15. Thank You
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COnsultancy