According to Anita McGahan, a Professor of Strategic Management at Rotman School of Management at University of Toronto, Indian pharmaceutical companies have lunged ahead in developing drugs across the world. According to her, the Indian pharmaceutical sector is a role model when it comes to the research and drug discovery and their strategic planning should be followed by other emerging market companies such as Brazil and China.
Indians discover drugs at very low cost development which in turn offers abundant scope to other countries like USA with a per capita healthcare spend of $10,000. This figure is far higher than the per capita income of several other emerging market companies in this field of industry, she added.
Indeed, India’s expertise was seen in areas such as vaccines for infectious diseases, chemical-based pharmaceuticals, and locally relevant global diseases. However, the country’s overall inability to develop original drugs was a de-facto witnessed on a large scale, said G. V. Prasad, Chairman and CEO of Dr Reddy\'s Laboratories.
He explained that the Indian pharmaceutical industry was neck-deep engaged in research and discovery of original drugs to active ingredients across an entire chain of products. Although, India has superseded the world in terms of active pharmaceutical ingredients, but the country’s efforts to team up with global key players were not a fruitful outcome. Indian has a long way to head to in developing original drugs in the country.
According to G. V. Prasad’s knowledge, India’s largest pharmaceutical company was a couple of billion dollars in size, which was not adequate to engage in any sort of original drug discovery. He however, blamed lack of venture funding, lack of quality talent, and poor government policies for the lacuna as few of the major reasons for the lack of progress in the country.