Elder to offer 25 lifestyle drugs by mid-2005

Elder Pharmaceuticals is all set to launch 25 new lifestyle drugs in the first half of 2005. Most of these are the outcome of the Indian company's partnerships with foreign pharmaceutical companies.

Some time ago, domestic drug firms started seeking partnership with overseas manufacturers to market their products in an effort aimed at surviving in a product patent regime. Many of these relationships are now coming to fruition.

Elder Pharmaceuticals, for example, recently entered into exclusive marketing alliances with Japanese pharmaceutical companies such as Tanabe Seiyaku and Fujisawa. It has similar relationships with about 25 other multinational drug companies.

Elder Pharmaceuticals, having identified a huge growth potential in the Rs 2,800 crore lifestyle drugs segment, has also floated a separate division "" 'El Life'"" to house this business.

Confirming the development, Alok Saxena, director (international), Elder Pharmaceuticals, told Business Standard, "In view of the working strategies and arrangements with these companies, Elder Pharma will not be affected by the patent regime in India that comes into effect from 2005."

According to Saxena, the company's strategy of partnering with multinational drug makers (at times the original patent holders) to market their products in India, is aimed at insulating itself from the adverse impact of a patent era.

"Lifestyle diseases such as hypertension are on the rise. The other key growth driver in this segment is that the medication in this category is generally for a long term, meaning one prescription generates business for an extended period of time. The move is in line with the company's strategy of being present in the long-term prescription market," Saxena added.

The lifestyle drugs segment, according to the company, is growing by 15 per cent a year. The anti-infectives segments is the largest in the Rs 20,000 crore industry and accounts for 16 per cent of the industry's turnover.

But lifestyle drugs segment comes second and accounts for 14.7 per cent of the domestic market.

The other key players in this segment include Sun Pharmaceuticals, Ranbaxy Laboratories, Torrent Pharmaceuticals, USV, Glenmark Pharmaceuticals, apart from multinationals such as Eli Lily and Aventis.

According to the company, it has positioned itself in the emerging markets of diabetology, cardiology, respiratory disorders and cerebral diseases. Its other areas of activity include dermatology, nutritional products and antioxidants.