The Future of the Indian Pharmaceutical industry
According to the reports from the Indian Pharmaceutical Alliance, India has the capability to grow the pharma sector. Indian Pharmaceutical Alliance (IPA) showcased the steps that need to be followed by the pharma industry to maintain its global ranking in the market.
The goals established by the IPA to define the advancement of the Indian pharmaceutical industry and realised the potential.
4 Key Drivers of Growth
- Improvement of economic growth in India
- New innovative products
- Strong growth in the US market
- Increased foothold in markets such as Japan and China
According to the research, more than 2 million jobs have been created in the pharmaceutical industry in India and the CAGR is estimated to grow between 7-8%. This would result in the sector worth up upto $90 billion by 2030, but the association suggests that the industry has the potential to rise at a CAGR upto 11-12% with the potential of reaching $120 to $130 billion by 2030.
The organization presents the three primary goals:
- Good quality and affordable medicine need to be implemented in the country.
- India will become the world’s largest supplier of drugs by volume.
- The pharmaceutical industry increased its income into India.
Challenges for the Indian Pharmaceutical Industry
The below challenges need to be faced by the Indian Pharmaceutical Industry. It includes:
- Fluctuate in pricing and policy environment
The IPA suggests that the government and stakeholders need to work together to develop a plan to produce affordable drugs for Indian patients.
- New Innovation in Pharma Industry
Research stated that the Government needs to invest in research initiatives to grow India’s innovation.
- External threats to the Market
The reports stated that India is highly dependent on other countries for pharmaceutical ingredients (APIs). 80% of the APIs used in India provided by China.
Proposals for the Pharma Industry
As per the report, India Pharmaceutical companies need to make bold strategies:
- Improving the communication between industry stakeholders that help to build a strong platform for the Pharma industry.
- The Ministry of Pharmaceuticals was proven as an effective way to help the Pharma industry grow.
- Indian Pharma industry needs to focus on API manufacturing in India rather than importing it from other countries.