Indian Pharma Market Continues Single-Digit Growth In August
The Indian pharmaceutical sector reported single-digit growth in August for the fourth consecutive month due to a high base and challenges in volume growth.
Industry sales were up 5.1% in comparison with 12.1% over the same period last year, according to data from All Indian Origin Chemists and Distributors Ltd. Sales had risen 5.3% in July, 6% in June, and 5.6% in May.
The mid-single-digit performance is partly due to robust growth in August 2022 and challenges in volume growth, which has been "negative since the past five months", said Krishnanath Munde, associate director at India Ratings and Research Pvt.
Growth in new product launches has shown consistent improvement in recent months, with price growth being stable at around 5–6%, Munde told BQ Prime. "India Ratings maintains its Indian pharma market growth estimates for FY24 at 10–11% year-on-year."
Key Highlights
Volume declined 3.3% versus a 4% rise last year.
Prices increased 5.1% year-on-year as compared with 6.6% last year.
New product launches registered a growth of 3.3% against a rise of 1.5% over the previous year.
On a January–August basis, growth in the average price and new products was 5.5% and 3.2%, respectively, while volume growth contracted 1.6%.
Overall, the average Indian pharma market growth remained healthy at 7.1% year-on-year, according to Munde.
Therapywise Growth
The top 10 therapies contributed 86% of the Indian pharma market.
According to data from the AIOCD:
Sales of dermatological products and pain segments rose the most at 6.4% and 6.3%, respectively.
Gastroenterology grew 5.7%, while cardiac and neurological segments rose 5.1% and 5%, respectively.
Vitamins rose 4.8%, while anti-diabetic and gynaecological products grew 4.5% and 4%, respectively.
The anti-infectives segment rose 1%, while respiratory grew 0.2%.
MAT Performance
The moving annual total, or 12-month rolling sales of overall pharma products, rose 8.5% in August, according to the AIOCD. That compares with 6.3% in August 2022 and 14.7% in August 2021.
Company PerformanceÂ
Higher-Than-Market Growth
Mankind Pharma Ltd. reported the highest growth in August at 10%, followed by Sun Pharmaceutical Industries Ltd., which grew 9.5%.
Torrent Pharmaceuticals Ltd., Abbott India Ltd., and Zydus Lifesciences Ltd. grew 8.5%, 7%, and 6.9%, respectively.
JB Chemicals and Pharmaceuticals Ltd., Glenmark Pharmaceuticals Ltd., and Ajanta Pharma Ltd. reported higher-than-market growth of 6.1%, 6%, and 5.7%, respectively.
In Line With Market Growth
Indoco Remedies Ltd. reported a growth of 5.3%, while Dr Reddy's Laboratories Ltd. reported a growth of 4.7%.
Lower-Than-Market Growth
Lupin Ltd. and Alkem Laboratories Ltd. rose around 4.4%, while Cipla Ltd. gained 4.2%.
Alembic Pharma Ltd. rose 3.1%, while Ipca Laboratories Ltd. increased 2.5%.
GSK Pharmaceuticals Ltd., Eris Lifesciences Ltd., and FDC Ltd. rose in the range of 1-2%.
Sanofi India Ltd. reported a 0.3% rise in sales, while Pfizer Ltd. reported the highest year-on-year decline at 13.1%.
-
Navigating Energy Crossroads: S Jaishankar's Call For Diversified Supply Chains At G20 Ministerial Meeting
As geopolitical fault lines continue to test maritime trade routes and commodity flows, Jaishankar's message remains pertinent: true economic resilience requires open markets, protected transit lines, and a genuine commitment to multilateral cooperation rather than coercion.
-
Indians Are Travelling, But Not Every Journey Is A Holiday | The Week In Whys
Pilgrims, patients and working women are the real travellers, and the system hasn't quite caught up with them.
-
Getting To Work Costs Women More | The Reason Why
It is not just about women paying more than men. It is about women paying much more in cities than in villages.
-
AI Bias In Investing Cannot Be Eliminated, But It Can Be Governed
Framing is a particularly important example as identical financial information presented in terms of gains rather than losses can lead an LLM to reach a different assessment.
-
Joining The Dots | Dark Skies, Steady Diya: Why Hope Holds This Diwali
With war, a weak rupee and foreign outflows weighing on sentiment, policymakers at the NDTV World Summit and market veterans at NDTV Profit Ignite: Diwali Edition offered the same advice: stay invested and filter out the noise.
-
The Curious Case of Equitas Small Finance Bank And A CEO Who Quit For Stock
PN Vasudevan believes persistent investor concerns over a perceived conflict of interest had become a governance overhang on Equitas Small Finance Bank's stock, even as the lender improved profitability and asset quality.
-
Talking Points This Week: AI Cash Burn, A Tiger Comeback And An India That Still Finds Its Own Path
India is not immune to higher oil or tighter global liquidity, yet its earnings base is broader, its domestic policy levers are still available.
-
Foreign Investors Own Half Of HDFC Bank and ICICI Bank. An LTCG Cut Could Matter Most Here
Foreign portfolio investors have US$115 billion parked in HDFC Bank, ICICI Bank. If the government cuts long-term capital gains tax, Jefferies says returning foreign money could land here first.
-
'Never Seen This Level Of Negativity': Sandeep Tandon Says The Next Rally May Be Closer Than You Think
Veteran investor Sandeep Tandon says foreign selling is easing, large-caps are due a comeback and mid-caps are crowded, while he turns positive on gold, power and pharma this Diwali.
-
Indians Stay With Family, Not In Hotels | The Reason Why
India still lacks enough clean, reliable and affordable hotels for budget-conscious travellers.
