View
98
Download
0
Category
Tags:
Preview:
Citation preview
SHANKAR R 14114
GEORGE JACOB 14095
DIVYA LIZ GEORGE 14093
DHARA B SHAH
14067
MARY MONISHA 14060
G5INDIAN PHARMACEUTICAL INDUSTRY
Committed to a healthier life
Indian Pharmaceuticals
World’s 3rd largest [volume]
6th largest market globally [size]
2.4% of the Global Pharma Industry
Domestic demand [2014-15] close to $36.8 billion
cCAGR 13%, to continue for the next 5 years
90% of drugs sold estimated to be generics
1
KEY STRENGTHS
Fair protection of intellectual property rights
Strong manufacturing base.
Drug prices 1/10th of international price and 40 % cheaper to set up plants.
60-70% cheaper for bulk drug production.
Highly trained pool of scientists and professionals.
Highest quality approvals from USFDA
Growing biotechnology industry.
Low labour cost
2
INDIAN PHARMA
API / Bulk Drugs
Formulations
Branded Generics Chronic Acute
• Cardiovascular
• Anti-diabetics
• Gastro-
intestinal
• Neurological
• Anti-infectives
• Respiratory
• Pain
• Gynaecology
12.3% 13-15%
2010-15 2015-20E
Exports [CAGR]2010-15 17.7%2015-20 11-13%E
2010-15 2015-20E
15.2% 10-12%
3
Major Players – Top 10
Sun Abbott Cipla Cadila ManKind Alkem Glaxo Lupin Pfizer Emcure
8.90%
6.20%
5.00% 5.00%
3.60% 3.60% 3.50% 3.40%3.00%
2.70%
4
REGULATIONS
PRICE BASIS QUALITY
PATENTS
Co-coordinating Activities
Central Govt. State Govt.
DCGI State DCO
5
NOTABLE TRENDS IN INDIAN PHARMA
R&D ExportRevenue JV’s
Expansion by Indian Players
Abroad
Patent’s Act Product Patents
Less timeFor approval
6
2009 2010 2011 2012 2013 2014 2015E0
100
200
300
400
500
600
700
800
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
16.00%
18.00%
20.00%
10.40%
17.80%
15.50% 15.50%
12%
6%
12.9%
Market Size [In bn] Growth Rate
Domestic Pharma Market Size 7
Growth trend in formulation exports [in bn]
2010 2011 2012 2013 2014 2015E
2.7 3.6 4.3 5.2 5.7 6.2
3.6 4.4 4.9 5.4 6.2 6.7
Regulated markets Unregulated markets
8
Growth trend in bulk drug exports [in bn]
2010 2011 2012 2013 2014 2015E
2.7 3.6 4.3 5.2 5.7 6.2
3.6
4.44.9
5.46.2
6.7
Regulated markets Unregulated markets
9
2011 2012 2013 2014 2015E 2016P 2017P
18.40%
16.80%
17.00%
18.80%
18.20%
18.50%
18.50%
Profitability Trend of Large Formulation Companies
2011 2012 2013 2014 2015E 2016P 2017P
18.40%
16.80%17.00%
18.80%
18.20%
18.50%
18.50%
Profitability trend of mid sized and small sized formulation companies
2011 2012 2013 2014 2015E 2016P 2017P
18.40%
16.80%
17.00%
18.80%
18.20%
18.50% 18.50%
Trend in Profitability for bulk drug manufacturers
Growth drivers
Demand Side
Drivers
Policy Support
Supply Side
Drivers
Cost advantage
Manufacturing hub
546 sites registered
Penetration of
chemists
Accessibility to
improve
Health insurance
Stress related disease
Diagnostic facilities
Reduction in approval
time
Pharma education
Accessibility for BPL
Exemptions
10
Key challenges
Drug Quality, not adhering to cGMP
Clinical trial quality
Low margin of profits due to Govt pricing policy – Drug price control
order
Patent issues
Low input for R & D
USFDA checks
11
Opportunities
$44 billion lose due to patent expiry in US
Expansion of Biosimilars and Bio-pharmaceuticals.
Growth of CRAMS
NMITLI & DPRP schemes
Fiscal incentives to R &D units
12
India’s share in anda approvals
2006 2007 2008 2009 2010 2011 2012 2013 2014 YTD 20150
100
200
300
400
500
600
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
370398
433 418 421442
499
380 379
59
21%
28% 29% 30% 31%
35%
40%
43%
34%
41%
Total Approvals India as a % of total approvals
13
BIOSIMILAR : THE next big thing
Active Ingredients sourced from living organisms Sensitive
to storage and
handlingApproval – Multi step process
Complex nature –
Not easily copied
USD 1.4 billion by
2016
Overall market sales – 20%
growth
CadilaBiocon
Dr Reddy’sLupin
WockhardtCadila’s Exemptia, biosilmilar of Humira
14
SOURCE : CRISIL RESEARCH
THANK YOU!!
Recommended