India Brand Equity Foundation
(IBEF) and Pharmexcil reported at CPhI Worldwide the country’s plans for growth and its commitment to lowering the cost of medicines globally. In 2012, India was recognized by UNICEF’s Supply Annual Report as the largest supplier of generics globally.
This year India’s pharma exports stands at $14.7 billion (2012-2013), registering a growth rate of 11%, with 55% of exports heading to highly regulated western markets. India is working to improve access to life-saving medicines in developing economies and the government has set a target of $25 billion for pharmaceutical exports by 2016.
The government of India has made tax breaks available to the pharmaceutical sector and a weighted tax deduction of 150% for any R&D expenditure incurred. They have also introduced 19 special economic zones to help stimulate pharma sector investment across the country. As a result of these initiatives, it is predicted that R&D expenditure will continue to grow at an annualized rate of nearly 20% for the next few years. In addition, the Department of Pharmaceuticals has set aside $478.4 million to set up 10 more National Institute of Pharmaceutical Education and Research (NIPER).
Source: India Brand Equity Foundation