Generics still the game changer

Generic opportunities in developed markets continue to play pivotal role in driving performance of Indian Pharma: ICRA


The near-term outlook for the Indian pharma industry continues to be principally supported patent expiration wave in the US, strong product pipeline of Indian companies and favorable foreign exchange environment has been noted in ICRA latest update on Indian Pharmaceutical Industry.While growth in the Indian market was muted in first half of the year due to inventory cuts by trade channels and impact of new pricing policy (we expect an average price cut of 17-20% for drugs under NLEM), it is expected to recover gradually.

As far as emerging markets are concerned, while the long-term growth prospects remain intact, certain regulatory developments in some of the markets have hinder the growth momentum for few quarters.

Particularly, the delays in product approvals and pricing pressure in Brazil and efforts to encourage domestic companies in Russia are some of the key challenges that Indian pharma companies face at present.

Overall the performance of individual companies would continue to vary depending on the quality of product pipeline in regulated markets, especially the US, geographic diversification, and in-organic investment driven strategies.

Companies with growing portfolio comprising of niche or complex products in regulated markets and strong & established brands in branded generic markets are likely to be better positioned to manage industry challenges, says ICRA.

Previous 1 3 Next

Leave a Reply Sign in

Notify me of follow-up comments via e-mail address

Post Comment

Survey Box

National Health Policy

Is National Health Policy 2017 helpful for patients?

Send this article by email