Regulatory irritants hinder growth of pharma industry: Glenmark CMD
The Indian pharmaceutical industry is highly competitive and with increased government intervention, growth will be impacted over the next few years. In such a scenario, the larger players have been increasingly exploring overseas markets.
Speaking to The Hindu, Glenn Saldanha, Chairman & Managing Director, Glenmark Pharmaceuticals, said the Indian pharmaceutical industry today was increasingly globalised. “It is going to be challenging for the next 3-5 years, a fact recognised by the leaders in India which is why they are targeting the global market. Leading companies have diversified their portfolio with India business contributing around 30 per cent of revenues,” he said.
“The competitive intensity has increased as everyone is launching everything. The industry dynamics are changing and this is having a bearing on growth of the Indian market.’’
He felt the growth of the pharmaceutical industry was impacted by the changing regulatory requirements which resulted in new product approvals “almost disappearing and the push towards genericisation”.
Welcoming government steps like the Drug Price Control Order (DPCO), 2013, which capped the price of several essential medicines, Mr. Saldanha said it would affect profitability of companies, “but it is something essential to bring India up to global standards. It is the right move but in the near term there will be pain”.
