CHAPTER - 3 PROFILE OF PHARMACEUTICAL INDUSTRY CONTENTS

- Indian Pharmaceutical Industry - Pharmaceutical Regulations in India - SWOT Analysis of Pharmaceutical Industry - Pharmaceutical Industry in Gujarat - Future out Look of Pharmaceutical Industry - Profile of the Companies under the Study

CHAPTER - 3 : PROFILE OF PHARMACEUTICAL INDUSTRY INDIAN PHARMACEUTICAL INDUSTRY Modem Indian pharma industry has come a long way from the humble beginning of the last century to the most advanced and largest in the developing countries. The first stone in the foundation of the modem India pharma industry was laid, when in 1901 a factory known as Bengal Chemical and Pharmaceutical works, was established in Kolkata. Though the two world wars gave fillip to the development of the industry, the progress made under the British rule was insignificant. During this era the country depended largely on the UK, France and Germany for its requirements in drugs and medicines. After independence, India started putting its energy to economic development in all the sectors and even the pharma industry was not left untouched. Since then the progress of this industry has been substantial and can be called multidimensional (see table 3(1)&(2). The scenario today, is that we are highly self sufficient in both the bulk drugs and finished formulations. The real turning point came in the 70s when Indian government introduced the new patent act, which recognized only process patents, not product patents. This allowed Indian pharma companies to manufacture drugs discovered by international companies. This not only boosted the Indian companies but were also resulted in a fiercely competitive domestic market with world class products at affordable prices to the Indian diaspora. Even the job opportunities which pharma industry offers today is helping India in its social development. According to OPPI

60

1999-2000 annual report, thirty lakh people (direct and indirect) are employed with the pharma industry. Table-3.1 Progress of the Pharma Industry since independence Year

Status

1950s

Formulations Mostly imported, MNC dominance

1960s

Formulations Domestic endeavor on imported bulk drugs.

1970s

Formulations Some imports

1980s

1990s

bulk drugs

indigenous manufacture by domestic companies

formulations

marginal imports (