Indian Pharma Manufacturing: Serving the World
Leading the industry Teva, Mylan, Sandoz, Pfizer, Sun Pharma, Fresenius, Endo, Lupin, Sanofi, Aspen, Aurobindo, Dr. Reddy’s, Cipla, Apotex, Taj Pharmaceuticals
Indian pharma production is growing rapidly — boosted by the Modi government’s ‘Make in India’ campaign — and both Indian companies and multinationals implanted in the world’s second most populous nation are responding to the drastic need for quality, affordable generic medicines across the world.
“When it comes to manufacturing basic medical products and drugs, India is far superior to countries like China”
Suresh Pattathil, Ferring
India has increased its level of productivity over recent years, especially in the pharmaceutical sector. The overall pharma contract manufacturing industry is growing at 20 percent, with the current market value being estimated at 50 percent of the total domestic production. Big multinationals, in turn, hold a 25 percent stake in the Indian pharmaceutical market. Prime Minister Narendra Modi is showing his commitment to transforming his country into a major player in the global value chain by launching the ‘Make in India’ campaign in 2014, an initiative that intends to boost the country’s manufacturing agenda and global competitiveness.
India is the sixth-largest manufacturing nation and the largest beneficiary of foreign direct investment (FDI) in the world, seeing inflows of about USD 60 billion in 2016–17, the highest-ever in the country. Not only is India a renowned manufacturing powerhouse, but it has also improved its rank on the Global Competitiveness Index and the Global Innovation Index, along with moving into the Top 100 countries in the World Bank’s Ease of Doing Business global ranking this year. Under Modi’s government, for instance, the number of Japanese companies registered in India increased by 13 percent compared to the period prior to his appointment.
With foreign multinational companies increasingly setting up shop in India, the idea of contract manufacturing has also evolved accordingly to adapt to the needs of big enterprises. Suresh Pattathil, CEO at Ferring India told PharmaBoardroom that “when it comes to manufacturing basic medical products and drugs, India has is far superior to countries like China due to resources including manpower, a talented and technically educated workforce, along with its many WHO-GMP and US FDA approved facilities. In addition to this, a substantial 40 percent lower cost of operation and production tempts big pharma names to consider India over China for their outsourcing needs.”
Low-cost, generic medicines manufactured in, and exported from, the Indian subcontinent enhance access to affordable medicines for millions of people in the world — above all in the developing world. When the WHO announced that HIV/AIDS was the major cause of death in Sub-Saharan Africa in 1999, Indian manufacturers, with their reverse engineering skills, were the first to bring low-cost versions of HIV drugs (Zidovudine) to the market within a few years of the launch of the patented drug. Some claim that India is the ‘pharmacy to the world’, but it also has a great potential to become the ‘factory of the world.’ The government and regulatory agencies are greatly contributing to make this a reality. Dr. Pallavi Darade, commissioner of the FDA of the state of Maharashtra explained that “they are currently in talks with pharmaceutical companies to explore investment opportunities around the Multi-Modal International Air Cargo and Hub (MIHAN) in the city of Nagpur which will pave the way for the development of a real pharma hub in the state.” Big names like Lupin have already started production.
Writer: Luca Nardini
A Guide to the Top Generic Drug Companies
Generic medication manufacturers are leading the industry
BY KATHLYN STONE Updated May 10, 2018
Generic drug makers have become a formidable segment of the pharmaceutical drug market. According to the Center for Justice and Democracy at New York Law School, 80 percent of all drugs prescribed are generic, and generic drugs are chosen 94 percent of the time when they are available.
Brand-name drug patents typically last about 20 years, and when those patents are up, the ingredients become available to generic manufacturers who then can introduce their own versions of those drugs to the marketplace. Insurance companies traditionally have steered patients toward generic options by offering lower co-pays compared to brand-name drugs.
A report by GlobalData says that Indian generic manufacturers are doing particularly well in the generics marketplace, and more and more companies are moving their manufacturing facilities overseas to cut costs.
According to the U.S. Food and Drug Administration, generic drugs have the same active ingredients, work the same way, and provide the same clinical benefits as their brand-name counterparts. This does not mean that generic drugs are 100 percent equivalent to their brand-name counterparts, but their manufacturers must demonstrate to the FDA that they can be effective substitutes for the drugs they are copying.
Based on financial numbers provided by Evaluate through 2016, these drug companies are leading the way in the generics marketplace.
Teva Pharmaceutical Industries
Reported revenues in 2016 were $9.8 billion. Teva regularly records more than $9 billion in sales and purchased the rights to Allergan’s generics division in 2015.
Mylan Inc.
Reported $9.4 billion in revenue for 2016. In 2014, it took on a large part of Abbott Pharmaceutical’s business, purchasing the rights to more than 100 specialty and branded generic pharmaceuticals. Headquartered in the United States, it has more than 20,000 employees worldwide.
Sandoz, the generics division of Novartis
Reported $9 billion in revenue in 2016. Sandoz employs more than 25,000 employees worldwide and runs 30 manufacturing sites.
Pfizer
Reported $4.5 billion in revenue in 2016. Best known for developing Viagra, Pfizereven began selling its own generic version of the drug when its patent expired in 2017.
Sun Pharmaceutical Industries
Reported $3.6 billion in revenue in 2016 and saw a 68 percent increase in drug revenue, due in large part to its $4 billion buyout of rival Ranbaxy Laboratories. The purchase added $2 billion in revenue and solidified Sun as a leader in the generic marketplace. Sun has more than 30,000 employees.
Fresenius Kabi
Reported $2.8 billion in revenue in 2016. The Canadian company focuses on technologies for infusions, transfusions, and parenteral (intravenous) nutrition.
Endo International
Reported $2.5 billion in revenue in 2016. Its generics division is Par Pharmaceuticals, with PAR standing for “People Achieving Results.” The company began in 1997 after acquiring rights and assets from the DuPont Merck Pharmaceutical Company.
Lupin
Reported $2.5 billion in revenue in 2016. Lupin entered the generics market in 2003 with the antibacterial drug Cefuroxime Axetil. As of 2018, Lupin produces more than 75 generic drugs.
Sanofi
Reported $2 billion in revenue in 2016. Operates worldwide generic brands Zentiva, Medley, Genfar, Winthrop, and Globalpharma.
Aspen Pharmacare
Reported $2 billion in revenue in 2016. As one of the few pharmaceutical companies based in South Africa, it has seen growth by focusing on emerging markets in Asia. It continues to look for companies to acquire to add to its portfolio of medications.
Aurobindo Pharma
Reported $1.8 billion in revenue in 2016. Aurobindo has seen considerable growth in recent years and opened a 565,000-square-foot, fully automated state-of-the-art distribution center in East Windsor, New Jersey, in 2017.
Dr. Reddy’s Laboratories
Reported $1.8 billion in revenue in 2016. Dr. Reddy’s was founded by Dr. Anji Reddy in 1984 when he acquired Cheminor Drugs.
Cipla
Reported $1.6 billion in revenue in 2016. Based in India, Cipla also has a strong presence in the U.S. and South Africa.
Apotex
Reported $1.6 billion in revenue in 2016. Apotex is the single largest investor in research and development of any pharmaceutical company in Canada — brand or generic, according to its website. It has more than 1,100 active research and development projects in 50 countries. Since 2008, Apotex has invested $1 billion in research and development, with an additional $2 billion planned through 2028. It exports to more than 115 countries and territories and operates in more than 45 countries, primarily in the U.S., Mexico, and India.
Taj Pharmaceuticals
Taj Pharmaceuticals Limited manufactures and distributes medicines. The company’s products include prescription solutions, lifesaving drugs, anti-cancer drugs, veterinary products, consumer brands, and CNS drugs. It focuses on medicines of anemia, anxiety disorders, cancer/oncology, ear infections, heart failure, hepatitis, HIV/AIDS, influenza, non-Hodgkin’s lymphoma, obesity, osteoporosis, Parkinson’s disease, pneumonia, transplantation, and common diseases. Taj Pharmaceuticals Limited was founded in 2004 and is headquartered in Mumbai, India.
Taj Pharmaceuticals Ltd. is an Indian Non-Government Company into manufacturing and distribution of medicines, majorly in Generic drug Manufacturing. Founded in 2004 and headquartered in Indian city of Mumbai. The company is led by Abhishek Kumar Singh, initially incorporated as manufacturing flagship company Taj Pharma CIS LLC, Moscow, The company is focused on majorly in medicine relating to cancer/oncology, HIV/AIDS, influenza, Parkinson’s disease, transplantation, pneumonia and common diseases. The company said to have received FDA approval for the Drug Papaverine capsules 150mg; indicated for visceral spasm, ANDA for generic Topiramate Tablets and US Patent for the controversial drug Terfenadine. Taj Pharmaceuticals was making patented diabetes drug Vildagliptin in India, which is still a propriety drug of Swiss firm Novartis.