Indian pharmaceutical market outlook to 2014: trends, key players and forecasts

India's per capita health care expenditure is well below international recommendations and compares poorly with the other emerging economies (Brazil, Russian Federation, China, Republic of Korea, Turkey and Mexico). Despite an improvement in the country's health care infrastructure over the recent past, there remains a lack of health centers and shortage of health personnel, notes a new report from Business Insights.

India has an extensive health care system, reaching even remote areas, yet the country's performance on health indicators remains low. Consequently, private health care services have been growing. Public/private partnerships have also grown, and represent a promising option which also deals with some of the welfare goals of the state. These partnerships are forged with the objective of improving the quality and efficiency of health care delivery while maintaining accessibility and availability for all, says the report.

As per the 2008 sales figures, the Indian pharmaceutical market currently ranks 13th among the major global markets, with sales of $7.7 billion in 2008. Yet the promise that the country's pharmaceutical market holds for the long term is much bigger even though its economy has been growing at a slower rate than China. The Indian Pharmaceutical Market Outlook to 2014 provides comprehensive coverage of the sector, incorporating the market structure, pricing and regulation and detailed analyses of the leading companies and likely health care reforms. The report makes a wide-ranging assessment of the marketed product portfolios, R&D pipelines, market share data, sales forecast and competitive landscape of the major players in the Indian market. Furthermore, it highlights the key market and R&D trends that may influence treatment sales, with an analysis of the competitive dynamics of leading brands within the country and across different indications, in order to enable the reader to identify growth trends, key drug classes and leading players through to 2014.
Key findings
' Private health care systems have been growing in the country due to the rising income levels of people and the inefficiencies of the public systems. The qualified pool of doctors and the advanced infrastructure of these private medical facilities at costs significantly below the developed countries, has positioned India at a strategically advantageous position to grow as a medical tourism hub.
' India's rapidly growing middle class and the aging population make it an attractive investment destination. The pharmaceutical market is expected to increase at a compound annual growth rate of 12.3% through 2014 which could even surpass other emerging economies such as China.
' In 1972, a law was passed in India that allowed local manufacturers to manufacture drugs that were still patent protected, with the use of alternative processes. Such a patent regime, though non-compliant with international standards, provided a boost to the local generics industry which could provide drugs both locally and to other emerging markets.
' In light of the increasing pricing pressures on the global pharmaceutical industry and a newly found emphasis on generics in countries such as the USA, leading global players have been strategizing to evolve an all-new hybrid business model in line with the Novartis-Sandoz model.