Indian Pharmaceutical market is expected to grow at 12 to 14% in the next five years and the Domestic Pharmaceutical industry will be 14 billion USD by 2012 as predicted by Mr. Shailesh Gadre , Managing Director, ORG IMS Research Private Limited at the seminar on  'Pharmaceuticals: Market Prognosis – 2012' organized by Federation of Indian Chambers of Commerce and Industry (FICCI)

Mr. Shailesh Gadre, Managing Director, ORG IMS Research Private Limited, in his presentation at the seminar on  'Pharmaceuticals: Market Prognosis – 2012', organized by Federation of Indian Chambers of Commerce and Industry (FICCI) predicted that Indian pharmaceutical market is poised to grow at 12 to 14% in the next five years and the domestic pharmaceutical Industry will be 14 billion USD by 2012 and will increase to 30 billion USD by 2020. High prevalence diseases, population dynamics, increased healthcare access; higher capacity to spend on health and changing healthcare model contributes to the growth.

The key-drivers are –

Demographic Factor: In India 40% of the population is less than 14 years of age. This tells about the large scope for increase in the medicine market.

Penetration Factor: Rural divide has decreased from 82 million in 1990 to 56 million in 2006. Thus creating more demand for medicines

Macro economic Factors: GDP has increased to 8.6%, Forex has improved to 191.9 Billion. FDI has reached to 15.7 billion. Inflation has reduced to 5.6%

Epidemiological Factor:  Acute & chronic diseases play an important role in drug consumption. E.g. Dengue, Chikungunya, Bird flu etc.

Innovations Factor:  Novel drugs and technologies play important role by creating newer and cheaper medicines.

While the global pharmaceutical market is expected to remain in single digit growth for the next five years, the pharmaceutical industry in 'pharmerging' countries including India, Brazil, Turkey, Mexico, China, Russia and South Korea are expected to grab more market space with focus in speciality segments, says Graham Lewis, Vice President, Global Pharma Strategy, IMS Health. Further while the top 10 companies in global Pharmaceutical Industry are failing to keep their market presence in context of the generic market, the companies from the pharmerging countries are expected to grab a better presence in the global pharma industry in the next five years.

While the top 10 companies in global pharmaceutical industry are failing to keep their market presence in context of the generic market, the companies from the pharmerging countries are expected to grab a better presence in the Global Pharma Industry in the next five years.