Swot of Indian pharmaceutical industry

Swot of Indian pharmaceutical industry

Strengths

· Cost competitiveness

· Well developed industry with strong manufacturing base

· Well established network of laboratories and r&d infrastructure, strong motivated scientific force

· Self reliant technology for production

· Access to pool of highly trained scientists

· Strong marketing and distribution network

· Rich biodiversity

· Low r&d costs

· Competencies in chemistry and process development

· Cost effective technologies for bulk drugs production and well developed capital equipment industry

· Increasingly, india is being regarded as a manufacturing base by global pharmaceutical companies.

Weakness

· Low investments in innovative r&d.

· Lack of resources to compete with mncs for new drug discovery research and to commercialize molecules on a worldwide basis.

· Lack of strong linkages between industry and academia.

· Lack of culture of innovation in the industry

· Low medical expenditure and healthcare spend in the country

· Inadequate regulatory standards

· Production of spurious and low quality drugs tarnishes the image of industry at home and abroad.

Opportunities

· Significant export potential

· Licensing deals with mncs for ndds

· Marketing alliances to sell mnc products in domestic market

· Contract manufacturing arrangements with mncs

· Potential for developing india as a centre for international clinical trials

· Niche player in global pharmaceutical r&d.

· Strong base of scientific as well as technical manpower and also due to pioneering work done in process development

· Supply of generic drugs to developed markets

Threats

· Product patent regime poses serious challenge to domestic industry unless it invests in research and development.

· DPCO puts unrealistic ceilings on product prices and profitability and prevents pharmaceutical companies from generating investible surplus

· R&d efforts of indian pharmaceutical companies hampered by lack of enabling regulatory requirement.

· Entrants of newer players in highly fragmented market.

 
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