Indian Pharmaceutical Market Grew 17.7% In August

The Indian pharmaceutical market (IPM) has grown an annual 17.7% in August 2021, which has increased from 13.7% in July. Sales of non-Covid-19 products have improved and contributed to this growth, showing a sign of normalcy. The size of the IPM stood at Rs. 1.8 trillion for the last one year till August 31, and the non-Covid-19 drugs range in India makes up 63% of the overall market.

India Ratings and Research stated in a report, "The 17.7% y-o-y revenue growth in India's pharmaceutical market (IPM) during August 2021 was led by improving sales in the non-Covid products portfolio while sales traction in the Covid products continued. The Covid-19 influence portfolio contributed 37% to IPM for moving annual total (MAT) July 2021. Acute therapies namely anti-infectives, gastro-intestinal, respiratory, and pain/analgesics continued to witness strong growth, aided by the low base impact. During August 2021, volumes grew 9% y-o-y (July 2021: 4.5% y-o-y), while price growth was 5.9% (5.7%) and new products launches were 2.9% (3.5%), driven by acute therapy products." Acute therapy saw sales grow 24.5%, chronic and sub-chronic therapies grew 10.1% and 14.7% respectively, while sales of cardiac products increased 6.3% and anti-diabetes 8.6%, in August.

Individually, companies too performed well this month. During MAT August 2021, Cipla, Glenmark, and Emcure significantly outperformed the market, with y-o-y growth of 19.8%, 28.9%, and 27.8%, respectively. This growth was driven by higher sales of Covid-19 related products along with the continued outperformance of chronic therapies. In August Covid-19 related drugs have experienced a subdued demand than before, as the second wave faded away and daily positive Covid cases fell significantly.

The report mentioned, "The Indian pharmaceuticals market is expected to grow in mid-teens ahead." It added, "The new diagnosis in diabetes for Covid-19-induced patients and the normalization of the patient-doctor connect would revive growth in the Cardio/Diabetes therapy over the near-to-medium term."