As per a study conducted by the ASSOCHAM, it is expected that the domestic generic drug market is likely to cross USD 27.9 billion from current level of USD 13.1 billion.
The current compound annual growth rate (CAGR) registered at 16.3 percent is the outcome of the approval by US FDA makers and 21 drugs patent losing patents.
The market is expected to see 85 percent share in the domestic pharma market by 2020. The study conducted by Associated Chambers of Commerce and Industry of India (ASSOCHAM) and RNCOS found that the market will be further fuelled by cheap labor, patent rise of drugs and prevalence of lifestyle diseases.
Drugs for cholesterol control, pain management, anticoagulant, respiratory, liver disorders, depression and lipid regulators are highly prevalent in the global market. Sun Pharma recently got the US FDA nod to manufacture generic hydocodone bitartate with acetaminophen (APAP) tablets that helps treatment of severe pain of acute, chronic, or post-operative types.
D S Rawat, Secretary General ASSOCHAM, said, "The market is likely to show a notable incline in the penetration of unbranded drugs. This comes as an immediate affect with key initiatives announced by the Government to include price control policies Jan Aushadhi campaign."
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The domestic pharma market, which was valued at USD 15.4 Billion in 2014 is expected to expand at a CAGR of 13.3 percent to USD 32.7 Billion by 2020. India is likely to be among the top three pharmaceutical markets by incremental growth and sixth largest market globally in absolute size.
The major export markets for the country's pharmaceutical products are Americas, Europe, China, Japan and Africa. The pharma export to the US markets is high due to the large number of approvals from the USFDA. India has been the third-largest exporter of drugs to the US market.
ASSOCHAM has also recommended attention on quality control, creation of robust supply chain network, support to other states, access to modern technology, state of the art infrastructure development.
