RNCOS recently released a new market report, “Indian Pharma Sector Analysis”, that says, the Indian pharmaceutical industry grew by approx.12% during the period 2001-02 to 2006-07 and its current growth rate is double of that of the global pharma market. It also discloses that in next five years, the industry will rise to double its current size.
According to the RNCOS report, in 2006, the Indian domestic market sales, excluding hospital and institutional sales, stood at over US$ 7 Billion and is anticipated to cross US$ 20 Billion by 2015. Moreover, the growth of the Indian pharmaceutical market is anticipated to be higher than other markets, placing the country at 10th place by 2015 against 14th place in 2005.
The boost in the Indian pharmaceutical market is largely given by the rise in annual household income, says the RNCOS report, as the country’s economy has been growing at a rapid pace for last ten years. High growth in economy is pushing up salaries, consequently, more and more families from middle and lower income group are entering the upper class section. So, over 60% of the healthcare payments in India are now made out of pocket, said the RNCOS report. This has raised the affordability of drugs, which, in turn, is increasing both the sales value and volume of drugs.
The RNCOS report also highlights that Epidemiological Transition from acute to chronic diseases has also spurred growth in the Indian pharmaceutical market. The impact of Epidemiological Transition has been reflected in sales of drugs used to treat acute diseases, which contributed 77% of the total drugs sales in 2006, while drugs for chronic disease had a share of just 23%. The report also discloses that despite lower market share of drugs for chronic disease compared to acute diseases, the chronic disease drug segment is expected to dominate the Indian pharma industry in future due to increasing life expectancy and rapid urbanization.
“Indian Pharma Sector Analysis” offers an in-depth analysis of the Indian pharmaceutical industry with foci on its other related segments. It also provides thorough and inclusive information on the structure of the domestic pharmaceutical industry, including healthcare profile of the country, market segmentation and performance, FDI in pharma sector, competitive scenario, opportunities, restraining forces, and future outlook of the industry.
RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of industry experts who analyze data collected from credible sources. They provide industry insights and analysis that helps corporations to take timely and accurate business decision in today's globally competitive environment.