Changing
eco-system to create better opportunities and growth up to 45% in Pharma
industry by 2025- IIHMR University
Conducts Pharma Summit 2017 to discuss
challenges and growing opportunities in the Pharma sector
Jaipur, 25th Feb, 2017: India- One of the largest and
the most complex demography in the world will be the youngest nation by 2022. With
the initiatives taken by the Government of India on demonetization,
introduction of the GST along with Make in India, Smart Cities, Digital India
and Startup India have played an important role in changing the eco-system and
created newer platforms in many sectors including the pharmaceutical sector. To
further discuss the opportunities and challenges in the Pharmaceutical sector,
IIHMR University Jaipur invited experts such as Mr. Rajendra Talele, Head
Clinical Development Services- Accutest Research Laboratories, Mr. Deve Babre,
Associate Vice President, Tata Consulting Services, Mumbai, Mr. Sachin Tadge,
Project Manager, Cognizant Mumbai during its Pharma Summit 2017 held on 25th
Feb, 2017.
Dr. SD Gupta, Chairman, IIHMR
University Jaipur said,
“Despite price capping, demonetization and GST implementation – all of which
are perceived to impact the Pharma sector adversely, this industry will
continue to grow and the major growth engines will be domestic sales, exports,
an ageing population, Health insurance coverage, increases in per capita
spending, Medical tourism etc. All these factors combined together put more
pressure on the effective management, governance, availability and
accessibility of pharmaceutical products, especially in remote areas. This poses increasing challenges for
Pharmaceutical managers not only in term of demanding effective Leadership
Skills but also in the sector’s demand for quality manpower that can hit the
ground running. In this context, IIHMR University’s MBA Pharmaceutical
Management program fills this vacuum to a great extent because it imparts
managerial skills that are relevant for the Pharma sector.”
Mr. Deve Babre, Associate Vice
President, Tata Consulting Services said, “Due to high growth rate in
domestic and overseas market, there is a strong need of Pharmaceutical
Management Graduates in Sales, Marketing, KPO’s, Medical writing and Communication,
Medical devices, Supply Chain and Logistics, Hospital Industry, Healthcare
Communications and Pharmaceutical Digital Marketing business categories. The
pharma sector is emerging and is mostly chosen by young candidates for fast
career progression, thereby being the number one choice for both Pharmacy and
Non-pharmacy graduates, which later on choose formal Pharmaceutical Management
education program and get domain expertise which is needed in Pharma and
Healthcare sector.”
The
Pharmaceutical segment is an integral part of the Indian healthcare market, a
market worth approximately Rs. 100 billion, growing with a CAGR of 22.9%. Healthcare delivery includes hospitals,
nursing homes and diagnostics centres, and pharmaceuticals, constitutes 65 per
cent of the overall market. Globally, the Indian Pharma market is the 3rd largest
in terms of volume and 13th in terms of value. By 2020 the Indian Pharma market
will be touching $55bn with a CAGR of ~15.9%, with Generics occupying 70% market
share followed by OTC 21% and patented drugs capturing 9% market share. To this
Dr. Gupta added, “The industry inspite of many challenges will create
58000 more job opportunities in the pharmaceutical sector and we expect the
industry to grow upto 45% by 2025.”
Dr. Ashok Peepliwal, Professor at
School of Pharmaceutical Management, IIHMR University Jaipur said, “In the last 5 years,
there has been a growth in non-communicable diseases. Segments like Cardiovascular, Anti-Diabetes,
Anti-cancers, Anti-depressants are the fastest growing areas of concern due to
rapid urbanization and changes in life-style patterns. The Union Budget of
2017 addressed this issue, and prompted the government to recommend tertiary
and secondary hospitals to launch “Wellness Centres” and to make the Indian
public aware of “Public Health” challenges.
It is notable that these actions have shifted the onus on to prominent
educational institutions to deliver healthcare management professionals
especially in the field of Primary Health, Hospital Administration,
Pharmaceutical Management and Public Health.”
The
IIHMR University, which pioneered cutting-edge research in Healthcare Sector,
has been meeting the demand for these professionals through their MBA programs
in Health Management, Hospital Management, Pharmaceutical Management, Rural
Management and Masters in Public Health (MPH) in collaboration with Johns
Hopkins University, Baltimore.
According
to AWACS, a total of 55 Companies have been launched in last 36 Months, where 5
Companies have crossed 10 crore in Revenue. These new companies are now being
led by Saffron Therapeutics, Brinton Healthcare, Innovcare Life Sciences,
Jubilant Life Sciences & Emenox Healthcare. With the rise in Government
taking various initiatives and the exports of the Pharma sector rising, According
to the India Skill Report 2016-17, the gender diversity in Pharma and
Healthcare sector is 71.72% males and only 28.28% females.
Mr. Rajendra Talele, Head
Clinical Development Services- Accutest Research Laboratories, said, “Keeping in mind the surge
in the Pharmaceutical sector, one must not neglect certain aspects of the
Indian pharma sector which is highly unorganized and fragmented in nature. It
has nearly 25,000 companies, only 330 are organized. Total employable
candidates with B. Pharm degrees were 42.3% in 2016 as against those 40.62% in
2015. Also as per the Industry wise hiring targets for women in Pharma and
Healthcare sector the total target is about 38.67% women as per the India Skill
Report and the total employability of women is only about 28.28% which calls
for the need of gender diversity to be maintained in the Pharmaceutical
industry.”
In
view of the national push to “formalize” all sectors of the economy—of which
the Pharma sector is a critical component, Management education in the health
sector can play a vital role in facilitating the push towards greater professionalization
and formalization. There is a growing demand for Pharmaceutical Management
Graduates in Sales, Marketing, KPO’s, Medical writing and Communication,
Medical devices, Supply Chain and Logistics, Hospital Industry, Healthcare
Communications and Pharmaceutical Digital Marketing business categories. This
sector is emerging as a choice sector for GenY, for whom careers as
professionals and management trainees with good starting salaries have emerged
as attractive career option. It is
therefore not surprising that the Pharma industry, which employs ~5.5-5.7 Lakh
people, hired approx.1.34 Lakh people in 2016 and the same momentum is expected
to continue in the coming year.
The Pharma Summit was concluded by discussing trends
alongwith various other aspects that could give impetus to the growth of the
Pharma sector. Biosimilars and Biologics are burgeoning sectors in 2017 also major
scientific and technological advances, coupled with socio-demographic changes
and increasing demand for medicines will revive the pharma industry’s fortunes
in another 10 to 20 years. Other trends like increase in coverage of health
insurance, advancement in medical technology and penetration of mobile health
services will give further impetus to the growth of the Indian pharma industry.
