Indian domestic pharma market on revival path

Broking house Centrum Broking says domestic pharmaceutical market set to grow by about 14% in 2015

A number of Indian analysts tracking the pharma sector have forecast that the Indian pharmaceutical sector is likely to be on the revival path in the coming months. Broking house Centrum Broking has said that the domestic pharmaceutical market is set to grow by about 14% in 2015.

Analysts have suggested that the slower growth in 2014 was because of the adverse impact of the National Pharmaceuticals Pricing Policy (NPPP) and trade-related issues. They have, however, pointed out that the price increase - along with a rise in volumes - is set to drive growth to 12 – 14% in 2015.

Of the 12 major pharma companies in India, seven grew faster than the market. These were: Sun Pharma at 16.3%, Cipla at 8.5%, Lupin at 12.4%, Pfizer at 7.9%, Abbott India at 6.1%, Merck at 6.5% and Biocon at 32.8%.

Analysts have forecast that pharma majors will be helped this year by lower costs of imported materials, appreciation of the rupee against the dollar and a rise in the price and volumes of marketed products.

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