Value through Innovation23 April 2014

India - high unmet medical need

Map of India

India is the second most populous country in the world. A shift from communicable to more chronic "western" diseases represents a challange to the pharmaceutical industry.

Facts & Figures

Pharmaceutical business environment - Strength of the Indian pharmaceutical industry: low-cost, highly skilled talent pool, world-class manufacturing facilities.
- Pharma industry mainly operated and controlled by dominant foreign companies having subsidiaries.
- India is second most populous country in the world; high birthrate.
- Life expectancy is increasing, although it remains lower than all other markets at 63.5.
- Elderly population still growing and is forecast quadruple to 221 million in 2050. This is likely to compound the healthcare challenge facing India in the coming years.
Size - Volume of EUR 7.5 billion in 2011.
- Growth rate of twelve to 14 percent in the last five years.
- Pharmaceutical industry ranks third in terms of pharmaceutical production (by volume) and 14th in terms of value.
Future development - Key growth drivers for pharmaceutical industry: growing
economy, expanding health insurance coverage and
healthcare expenditure, use of expired foreign brands and
branded generics.
- Healthcare for all is high on the agenda of the present United Progressive Alliance (UPA) government.
- During the next six to eight years India will lose USD 236 billion of national income because of stroke, cardiovascular disease, diabetes and cancer.
Problems, i. e. political regulation of the market - All drug regulatory activities governed by the Central Drug Standard Control Organization (CDSCO).
- India’s drug regulatory process regarded as one of the better ones among the emerging markets. Nevertheless, many initiatives have been taken to improve the efficiency and speed of the regulatory process and the infrastructure.
- Counterfeit drugs make up about 20 % of India’s total pharmaceutical products.