A new report from IMS Health projects that India will slip from the 8th largest pharma market as projected last year, to only the 11th largest as projected in 2013. IMS says this is due to challenging economic conditions in India that has slowed growth rates, and the fact tha India's currency has slipped against the dollar which in itself lowers revenue projections. IMS also says that China Russia, and Brazil continue to project strong gowth. See The Economic Times.
I also noticed a report this morning in Fierce Pharma that states Gilead is in talks with multiple Indian pharma companies to allow them to make a generic version of its hepatitis C drug, Sovaldi, for the India market. This suggests that Gilead doesn't want its drug patents to fall victim to a compulsory license in that country -- like other Western manufacturers have faced this past year. Gilead instead will offer licenses to 4 or 5 competitors to make generic versions of Sovaldi. This should greatly decrease the price $2000 vs $84000 per 12 week course, and make drug much more available in India. Gilead will collect licensing fees and royalties from those who license. This seems to be a smart way to control patent issues around the drug, and to maximize revenues in India while at the same time being PR friendly. It also seems to me that it will potentially drive down revenues of new drugs in the short term (may increase in longer term through market expansion) in India and add fuel to India's drop in the overall market size rankings as noted above.
Posted by Bruce Lehr Feb 4th 2014.