Indian Economy News

Domestic pharma industry revenues are expected to grow by 6-8% in the next fiscal: ICRA

  • IBEF
  • March 17, 2023

According to ICRA, a credit rating agency, the domestic pharmaceutical industry is expected to witness revenue growth of 6-8% in the next fiscal year.

A healthy compounded annual growth rate (CAGR) was witnessed by the Indian pharmaceutical market (IPM) between 2012-2022.

Ms. Mythri Macherla, the Assistant Vice President, and Sector Head of the Corporate Ratings stated that structural factors like an ageing population, the continued rise in lifestyle/chronic diseases, new product introductions, etc. are expected to support the growth of the revenue for the industry. She added that in FY22, because of the increased sales of anti-infectives and price increases aided the overall IPM growth of 14.6%.

Medicines on the National List of Essential Medicines (NLEM) made up 17–18% of the IPM, according to ICRA, and some businesses got around 30% of their income from these medicines. E-pharmacies have gained significant traction in recent years and now makeup 10-15% of the IPM, the report said on emerging patterns in the sector.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.