Since the beginning of man, illnesses and treatments have become a vital aspect in our daily lives. Health issues are increasing and, as a result, the business of pharmaceuticals. Pharmaceutical companies supply medicine or medications needed for medical treatment. In the past, in India the medicines were supplied by multinational corporations. However, this monopoly came to an end in an Indian drug industry taking on a radical turn in the 1970s , with the passing by the Indian Patent Act that allowed local growth of the pharmaceutical industry.
In the present in the present, the Indian pharmaceutical industry is the third largest industry in the world, in terms of volume, and 14th for value. It is predicted to exceed US $20 billion, and will soon make the the top 10 worldwide pharmaceutical markets. The future of Indian pharmaceutical business is favorable due to the rise in the demand in generic APIs and India has become an industry leader in the manufacture of generic Active Pharmaceutical Ingredients (APIs). The ability to develop technology and a skilled workforce have contributed to the growth of the pharmaceutical business development. In addition, low-cost rates have been a major factor in the growth of the business in pharmaceuticals. This is why the Indian pharmaceutical industry is growing with a CAGR of 13.7 percent.
Additionally numerous Indian firms have been successful globally because they have partnered with a number of multinational corporations to conduct research and development for diseases such as cancer AIDS as well as other Third World illnesses. What is a major factor in Indian pharmaceutical business’s growth is outsourcing by MNCs that seek an improvement in the cost of manufacturing. The only drawback here is that the MNCs are pushing “authorised generics,” which can entangle native pharmaceutical companies in costly litigation.
The business development program for pharmaceuticals will therefore focus on expanding distribution and identifying new markets in the international market. To achieve this the pharmaceutical industry must to implement more competitive marketing tactics. To grow the business of pharmaceuticals the investment into the research and development (R&D) to develop new products is essential.
Another factor that require attention for developing business in the pharmaceutical industry are that of the facilities for infrastructure in India that are preventing expansion through frequent power cuts and inadequate transportation facilities. In the future, the Indian pharmaceutical industry will have to make use of the advancements made in Biotechnology and information Technology. The cost aspect is to be controlled without letting it hinder the introduction of new products.
In the Indian drug business’s rate of growth was an increase of 25% over the last year. So, it is no surprise that the Government of India has reduced the amount of money paid to the association for research in the budget for 2010. The Indian pharmaceutical industry is still not able to realize its full potential. However, it doesn’t appear to be too far away with the right strategies in the areas of marketing, research and development.