In India, the pharmaceutical business has grown around 15% led by the growth of Covid-19 products in the last two years. According to Pharmasofttech AWACS Pvt. Ltd., the Indian pharmaceutical market research company, the growth was only 3% in the last year which has turned into double digits in the current year.
Pharmasofttech AWACS Pvt. Ltd is an Indian pharmaceutical market research company. By collecting data from pharma distributors the company provides market intelligence at the Indian level.
The results that come out from the research has shown that it is primarily price-driven and is a result of growth shown by the majority of the molecules It is not just the ones that have a role to play in Covid-19 treatment. This indirectly indicates the normalization of disease patterns because of which demand for products is as per the seasonal disease patterns.
In the first half of 2021, the medicines related to Covid treatment like remdesivir and minerals and vitamins kind of supplements got a boost. The connection between doctor and patient was hampered due to the Covid restrictions. For this reason, non-covid therapy got affected. But when the second wave began decreasing people comes to the doctors’ chamber. From this time covid off-take reduced but non-covid off taking the improved considerably after the second wave. This is the main reason behind the expansion of the pharma industry.
Analysts are predicting that in 2022 the export market will revive both from volume and price level. To see the current progress analysts are saying that in the Financial Year 2022 the growth rate will be 10%+ from the existing position.
Ujjwal Kumar, Research Analyst, Green Portfolio said, “Domestic market has done well for Indian Pharma companies as against the export market. Strong domestic demand led by price hikes contributed to high double-digit growth this year. New product launches and Covid-19 drugs also contributed to this demand this year.”
Due to the higher demand for antibiotics, anti-viral and nutritional supplements in the year 2021, the IPM grew by 18.2%. Nowadays, the major challenge that the industry is facing is the increase in raw material prices. However, there is some reprieve in the price of key starting materials and solvents till now but the situation will be normal very soon and will put strength on the gross margins of the business.