IBEF reports a surge in the Indian pharmaceutical sector

Posted: 10 September 2015 |

The Indian domestic pharma market is estimated to reach US$ 15 billion by the end of the 2015 financial year, says India Brand Equity Foundation (IBEF)…

The Indian domestic pharma market is estimated at INR 90,400 crore (US$ 15 billion) ending FY15 with a growth of 12%, says India Brand Equity Foundation (IBEF).


IBEF estimates that almost 27-30% of India’s pharmaceutical market is catered to by multinationals operating in India and around 460,000 people are estimated to be employed in the pharmaceutical industry. Top 20 companies account for 64% of the market. Eight out of the top 20 companies are growing faster than the market, with Macleoids topping the list with 23.4% growth followed by Intas with 21.3%, Cipla 19.7%, Glenmark over 19.4% growth and Mankind 19.3%. India’s pharma exports stood at US$ 15.3 billion in 2014-15. There were also M&A activities in the industry, accounting for $ 5.78 billion – an increase of around 44.5% in comparison to 2013.

Public-private partnerships, an increased penetration of healthcare facilities in non-metro cities, involvement of multinationals in setting up facilities in the country, and establishment of educational institutions have all contributed to the India’s thriving pharma market.

India expected to grab 20-25% of global market share in biosimilars

IBEF also reports that pharmaceutical R&D activities are increasing in India. An average of 8-10% of the total revenue of the India domestic pharma market, i.e. US$ 15 billion, is spent on R&D. For example, ZydusCadilla has launched Lipaglyn (sarogltazar), a drug for the treatment of hypertriglycerdemia in Type-2 diabetes. Contract Research and Manufacturing Services (CRAMS) in India is estimated to reach US$ 18 billion in 2018, up from US$ 7.6–7.8 billion in 2013. The biopharma market is valued at US$ 2.5 billion and India is expected to grab 20-25% of global market share in biosimilars in the next five years.

India is also making inroads to new regulated markets like Japan. Several initiatives have been undertaken by industry for engaging with Japanese pharma companies, including contract manufacturing of advance intermediates for drugs under clinical development/about to be made commercial, marketing APIs to Japanese Generic and Innovation companies, and providing quality intermediates to the Japanese innovator companies.

The last few years have reshaped and repositioned India in the realm of healthcare and pharmaceuticals, and the results have started to show in its high ranking position in the global pharmaceutical market, concludes IBEF.     

Comments are closed.

Send this to a friend