New Delhi, Sep 1 (UNI) Rise in middle class population, health insurance facilities, unpenetrated markets, marketing efficiencies, generics and brand development will contribute 6.64 per cent to the expected 19.64 per cent growth of the pharmaceutical market in India by 2015, a study says.
The growth will be facilitated by health consciousness, affordability due to rising incomes of expanding middle class and also health insurance facilities, Confederation of Indian Industry (CII)- Interlink report says.
Interlink is a business and management consulting firm in the pharmaceuticals and healthcare industry.
Based on income consumption model to forecast growth, the study says a large number of untreated and under-treated medical conditions will lead to higher demand for newer and better medicines. Rural markets also offer a substantial growth for the pharmaceutical industry, the report, prepared last month, adds.
Of the six growth drivers, the report says expanding middle class as consumer of new and value added products and rural markets with rising disposable incomes will contribute two per cent each to the growth.
It says since there are little chances of price control relaxing, pricing will drive only one per cent growth and marketing efficiencies contribute another one per by achieving deeper market penetration and higher returns on investment.
The report is not optimistic on health insurance, saying it can impact the market only marginally, resulting in incremental growth rate of only 0.14 per cent. Brands can contribute only half a per cent to incremental growth.
CII's senior director Anjan Das visualise a large number of global pharma companies initiating collaborative alliances with Indian companies in research, manufacturing and even distribution.
The report says India has both capabilities and competitive edge in terms of entrepreneurship, innovation and talents of becoming a strong global hub in both research and manufacturing.
UNI SAA SG HT1422