Cipla today said even as the industry faces several hurdles, the government's new drug policy will boost the pharma sector and the company hopes to generate sustainable and profitable top-line growth in FY18.
"The industry saw a slow growth rate in the recent past mostly due to the government policies and control measures.
"The industry also witnessed increasing pressure on the global pharmaceutical industry - regulatory and compliance issues are getting more demanding, intellectual property rights increasingly have become more complex and pricing pressures are intensifying," Cipla chairman Y K Hamied told shareholders here.
Addressing the company's 81st annual general meeting, Hamied said though the industry is facing several hurdles, the new drug policy is expected to be positive for the sector.
"A new national pharmaceutical policy is in the making and we hope it will positively encourage the industry in the present and future.
"The Drugs and Cosmetics Act and Rules is currently undergoing change to ensure quality, safety and efficacy of drugs. The government is also set to launch a workable clinical trials policy that will promise greater transparency and better checks for patients safety," he said.
A mandatory code is expected to replace the current voluntary Uniform Code for Pharmaceutical Marketing Practices (UCPMP) for increased adherence and governance. A separate ministry for pharmaceuticals and medical devices has been contemplated to establish efficiency, streamline regulatory approval processes and improve transparency and profitability, Hamied said.
"Our biggest imperative in FY18 will be to generate sustainable and profitable top-line growth. We will work towards bolstering our leadership position in India, South Africa and key emerging markets.
"In the US, we are eyeing over 20 ANDA filings, strengthening the execution of key launches and building our specialty focus in respiratory and CNS," said Cipla managing director and CEO Umang Vohra.
The company managed to maintain a suitable growth despite a highly competitive environment due its investment in R&D. The company invested 7.6 per cent of its total revenue and remained leaders conducting effective R&D in the domestic pharmaceutical landscape, he said.
The company filed three products in Q1FY18 and filing is expected to intensity in the remaining part of the fiscal with a target to file 25 ANDAs in the full year.
"We have filed many patents in India and internationally and we are confident the overall result of our initiatives will be evident in the coming years," Vohra added.
During FY17, the company's domestic business grew by 10 per cent despite pricing challenges and the impact of demonetisation. The company had successfully integrated its two recent acquisitions, InvaGen and Exelan into its global mainstream operations.
"Recently, Cipla USA was ranked 9th highest in prescriptions among all the US generic companies. Besides, we are among the leaders in South Africa and also in several smaller countries, such as Uganda, Sri Lanka and Mauritius, among others and we will continue to serve multiple markets effectively throughout the world," the chairman said.
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