Press Release. iphex 2013 to showcase on Indian pharma exports; R & D capabilities
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1 Press Release iphex 2013 to showcase on Indian pharma exports; R & D capabilities Pharmexcil s iphex 2013 for global showcasing of Indian Pharma products Over 400 international buyers and regulators expected at iphex 2013 Overwhelming exhibitor response with 60% exhibition sold out Mumbai, 05December 2012 The Pharmaceuticals Export Promotion Council of India (Pharmexcil), has announced the launch of iphex 2013, India s own pharmaceutical show under the support of Ministry of Commerce & Industry, Department of Commerce, and Government of India. iphex 2013 shall be held in Mumbai from April 2013 and over 400 leading Indian companies are expected to showcase the best of pharma products at the event. IPHEX 2013 will see the presence of 5000 business visitors including overseas buyers and drug regulators. Huge business opportunities are expected to emerge during the event. Further the presence of large number of drug regulators from overseas market will immensely help Pharmexcil and its members to promote the quality and affordability aspect as envisaged in Brand India Pharma Campaign. The campaign has been initiated by Ministry of Commerce and executed by Pharmaceuticals Export Promotion Council in association with I.B.E.F. Elaborating on the strengths of the Indian pharmaceutical industry, Dr. P V Appaji Director General, Pharmexcil says, India is the 3 rd largest player in the world with 500 different APIs and ranks 4 th globally in terms of production volumes; and 13 th globally in domestic consumption value. The country is the largest exporter globally of generic formulations in volume. It exports vaccines to 150 countries and produces 40% -70% of the WHO demand for DPT & BCG and 90% of measles vaccines. Besides domestic companies are accredited with 851 CEPs, 845 TGA and 513 manufacturing sites, registered with USFDA. They have been granted 90% of APIs approvals for ARVs, Anti-tubercular & Anti-malarial. India also ranks highest with 35% share in filings of DMF filed with USFDA and it sells 15% of generics by volume in USA. iphex 2013 will be a complete value chain show and Pharmexcil is creating a sustainable pharma industry platform with a special focus on exports market development. The exports growth story is one to be proud of, says Dr Appaji. Total exports during the last five years have grown by 16% CAGR, growth during the last financial year, was 23.34% in USD terms. North America continues to be our best destination with a CAGR of 25% and 33% growth during Exports to EU has grown exceptionally well during with 28% considering the fact that a single digit CAGR was recorded during the last four years. Exports to Oceania have also grown well with a growth of 43% but the overall turnover is small and
2 considering the fact that Australia and New Zealand are not yet fully tapped, higher growth rates can be expected, he mentioned. With increasing R&D spends, Indian pharmaceutical sector has become a cost-effective centre for world class research as also for contract R &D. Indian companies in recent years have produced many cost-effective drugs that are affordable to the masses, Ashutosh Gupta, Vice Chairman said. We are making concerted efforts to promote India s status as the manufacturing hub of the world, added Mr. Gupta. Technologically strong and totally self-reliant, the pharmaceutical industry in India has low costs of production, low R&D costs, innovative scientific manpower, strength of national laboratories and an increasing balance of trade. Indian pharmaceutical industry today is ranked world class, in terms of technology, quality and range of medicines manufactured. From simple headache pills to sophisticated antibiotics and complex cardiac compounds, almost every type of medicine is now made indigenously.the industry today can boast of producing the entire range of pharmaceutical formulations, i.e., medicines ready for consumption by patients and about 350 bulk drugs, i.e., chemicals having therapeutic value and used for production of pharmaceutical formulations. More and more Indian companies are investing in research and development (R&D). They are working overtime to improve the overall quality of their existing product and services lines. India has steadily emerged as a major global R&D hub despite starting late. The country with a spending of $ 30 billion globally ranks eighth. India has moved up in the pecking order which includes leading innovators like China, Japan, Germany and South Korea. The average R&D expenditure by Indian Pharma companies is close to 6%. The Government has prepared a "Pharma Vision 2020" document for making India one of the leading destinations for end-to-end drug discovery and innovation. Through this, the government provides support by way of world class infrastructure, internationally competitive scientific manpower for pharma R&D and venture fund for research in the public and private domain. The Government is also embarking on a major multi-billion dollar initiative with 50 per cent public funding through a public-private partnership (PPP) model to harness India s innovation capability. The vision is to catapult India into one of the top five pharmaceutical innovation hubs by 2020, targeting to achieve a global niche with one out of every five to ten drugs discovered worldwide by 2020 originating from India. The Government has also been taking various policy initiatives for the pharmaceutical sector. These include tax-breaks to the pharmaceutical sector and weighted tax deduction at 150% for the R&D expenditure incurred. Steps have also been taken to streamline procedures covering development of new drug molecules, clinical research etc. Indian Government has launched two schemes New Millennium Indian Technology Leadership Initiative and the Drugs and Pharmaceuticals Research Programme specially targeted at drugs and pharmaceutical research, says Dr Appaji. iphex 2013 will be the biggest industry exposition in India showcasing the diverse range of products and will include Formulations, APIs, Ayush, Nutraceuticals, Health Services,
3 Biotechnology and Biotechnology Products, R & D Services etc., informed Mr. Bhavin Mehta Committee Chief of IPHEX and CoA member, Pharmexcil. In addition to a world class exhibition and meeting place for Indian companies and global buyers, Pharmexcil plans to organise several thematic seminars and conferences on the sidelines as well. These shall include Pharma sector investments, R&D and Innovation, overseas market entry strategies etc, mentioned Mr. Mehta. The Ministry of Commerce, has launched a series of initiatives to promote Brand India Pharma and iphex 2013 shall offer a perfect opportunity for international buyers and regulators to come to India and evaluate how well structured and regulated the Indian pharma industry is Note About the Organiser iphex 2013 is being organised by Pharmaceuticals Export Promotion Council of India (PHARMEXCIL) under the support of Ministry of Commerce & Industry, Department of Commerce, Government of India. Pharmexcil is: Nodal agency to represent Indian Drugs, Pharmaceutical and Healthcare industry globally Mandated to help over 3800 of its members to achieve excellence in export Facilitate overseas buyers to find suitable trade partners from Indian pharma industry Please visit for more details. For Further Details contact Mediacom PR : / Pushkala Media Contact for Pharmexcil Mr. Abhay Sinha Regional Director - Pharmexcil Phone: / Fax: rodelhi@pharmexcil.com
4 Appendix Analysis of India s Pharmaceutica exports during the last four years Following is the table of India s exports of pharmaceuticals during the last four years Region wise. *Only 11 months statistics of the year has been received. Hence the formulations figures for the year include a moth s estimates. Exports Region Wise in USD million Region FY Mar 09 FYMar10 FYMar11 FYMar12* Gr FY11 Gr Fy12 % Contbn Fy12 Africa % Asean % Asia (Excluding Middle East) CAGR % CIS % EU % LAC % Middle East % North America % Oceania % Other America % Other Countries European % Others % South Asia % Grand Total % Source: CMIE/DGCIS
5 Total exports during the last four years have grown by 15% CAGR, growth during the last financial year, was23.34% in USD terms. North America continues to be our best destination with a CAGR of 25% and 33% growth during Exports to EU has grown exceptionally well during with 28% considering the fact that a single digit CAGR was recorded during the last four years. Exports to Oceania have also grown well with a CAGR of 43% but the overall turnover is small and considering the fact that Australia and New Zealand are not yet fully tapped, higher growth rates can be expected. Exports to LAC have also grown well at 19% more than the double the rate of CAGR of last four years and also higher than , but below the year s growth. Exports to Africa, Asean and Asia(Excluding middle east) have grown better than last year excepting Africa but only at overall year s growth. Exports to Middle East have grown during the year at half the pace of overall exports growth of the year (23.45) and slightly better than last year s region s growth. Exports to CIS countries have grown negative by 3.5%, It had an exceptional growth of over 36% during Analysis of Formulations: Following are the export [performance of formulations during the last four years. India's exports of Formualtions (Values in USD million) Gr FY 12 % Contbn Fy12 Region e CAGR Africa % Asean % Asia(Excluding Middle east) % CIS % EU % LAC % Middle east % North America % Oceania % Other America % Other European % South Asia % * 11 Months only , %
6 Exports of formulations contribution to Pharma exports has grown from 58.6% to 62.5% during the last four years. Exports of formulations during have grown by 25% and have a cagr of 17%. Exports of formulations to North America have been consistently growing at 37% and 31% of our formulations exports are to this region. During exports of formulations to EU has been exceptional with a growth rate of 30% as against CAGR of 9% during the last four years. Exports of Formulations to Asia(excluding middle east have grown at 60% during as against a CAGR of 9% during the last four years. Main contributor in this region is, exports to Japan which has gone up from 16 USD mn in to USD 48 mn in Exports to Oceania is also growing at higher pace of 37%.
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