Drug exports to grow 18% to Rs. 30,000 crore by 2008: Study
With over $65-billion drugs going off-patent in the U.S. and Europe in three years, Indian pharmaceutical exports have the potential to grow 18% to take the export volume from Rs. 16,000 crore in 2004-05 to Rs. 30,000 crore by 2007-08.
The overwhelming opportunities in the generic drug market is expected to be a major driver for the overall growth of the domestic pharmaceutical industry which is expected to grow 11% from Rs. 39,000 crore in 2004-05 to Rs. 60,000 crore in 2007-08.
According to an Assocham study, low cost of production and of quality manpower will give the country an edge over other countries, particularly those of China and Israel, in the event of the expiration of patents if branded pharma products.
Indian companies are expected to grab a 30% share of the increasing generic market in the pharma sector world over. The study also states that drugs worth $40 billion in the U.S. and worth $25 billion in Europe will go off-patent by 2007-08, which will provide adequate opportunities for Indian drug manufacturers to capture a large market share not only in the markets of the US and Europe but also venture into new markets such as those of Africa.
(The Economic Times)