The Knowledge to Decide

Amazon is eyeing the healthcare sector. It has rolled out a line of private label, over-the-counter medicines along with medical supplies for hospitals, doctors and dentists. Whether it is selling prescription or generic drugs, Amazon seems poised to disrupt the healthcare industry. However, Amazon faces its own share of hurdles. It will need licenses from each state to be able to sell medical supplies.  Medical practitioners may prefer to stay loyal existing sales channels. Waiting 24 to 48 hours for a pain or cold medicine means that customers may still run to the nearest pharmacy. Will Amazon disrupt the healthcare industry? For more information, click here.

The Indian Pharmaceutical industry – with a market size of INR1 lakh crore (as of 2016) – faces a loss of approximately INR10,000 crore due to the unforeseen ban of 344 Fixed Dose Combination (FDC) Drugs by the government. The ban discontinues the sale and manufacture of popular brands like Vicks Action 500 Extra – from Procter & Gamble (P&G) – a Fast-Moving Consumer Goods (FMCG), among others. Pharma giants Abbott, Pfizer and Macleods Pharma have urged a stay or lifting of the ban. With 1,000 cases under scrutiny, the industry is bound to see more legal battles. FDC drugs are banned in UK and the US due to health risks they pose such as anti-microbial resistance and even organ failure. How will India’s Pharma market pick itself up from the FDC drugs ban? https://www.spireresearch.com/newsroom/spirethoughts/indian-pharma-industry-hit-by-ban-on-fdc-drugs/

Despite the uncertain global economic climate, the growth momentum for generic drug spending will continue says Catherine Tang, Biomedical industry practice leader for the Spire Research and Consulting. Its share of total drug spending is set to increase. Demand growth, primarily from emerging markets, is being accelerated by healthcare reforms in the major developed markets of USA and Europe; as well as impending patent cliffs, where some USD 75 billion worth of drugs go off patent between 2012 and 2015. This presents new potential for manufacturers of API and drug intermediates (active pharmaceutical ingredients and excipient components used in generic formulations) in India.  India is well-poised in the global API industry, but headwinds from higher export barriers and increased pharma co-vigilance are major threats that will inevitably raise production costs and erode margins. To retain its pole position in the competitive generic market and claim blue sky space, API manufa