Pharma Growth in Indian Market: Analyzing 6.3% Revenue Increase in August

Pharma Industry Growth Overview

The Indian pharma market has reported a remarkable 6.3% revenue growth in August. This growth comes as the result of increasing prices and new product launches, according to research firm Awacs. Notably, volume growth remained weak, indicating challenges within the sector.

Growth Drivers and Sector Performance

During January to August, the Indian pharmaceuticals market (IPM) reported an average growth of 7.9%, despite a volume decline of 0.7%. Key therapies like cardiac, anti-infectives, and anti-diabetic treatments have notably outperformed overall market growth in August.

• Aurobindo Pharma's new injectable facility received USFDA approval.
• The average price growth was recorded at 5.2%, slightly up from 5.1% in the same period last year.
• New launches recorded a growth of 2.7%.

Companies like Torrent Pharma led the market with the highest year-on-year growth of 12.7%, followed by Ajanta Pharma with 9.9% growth. Pfizer India and Lupin also demonstrated solid performances, growing by 8.2% and 8.7% respectively.

Risks and Underperformers

On the downside, firms such as Zydus Lifesciences and GlaxoSmithKline reported declines in growth, highlighting challenges faced within the industry. With overall momentum shifting towards larger firms, small and mid-sized companies could face increased pressure.

Looking Ahead for Pharma

India Ratings projects an optimistic outlook for the IPM with an expected growth of 8-9% for the current fiscal year, surpassing last year’s growth of 6.5%. This reflects a resilient market poised for continued expansion, despite significant fluctuations in individual company performances.