Recruitments in A'bad CROs in slow lane

Major CROs say recruitments remain flat during 2012-13 over the previous year

In the face of regulatory uncertainties facing the clinical research industry, fresh recruitments in the clinical research organisations (CROs) has been lacklustre this year in Gujarat. Major CROs say recruitments have remained flat during 2012-13 over the previous year.

The state houses around 25-30 per cent CROs in the country. Major reasons behind the growth of clinical research industry in Gujarat has been the presence of major pharmaceutical manufacturers here as well as pharmacy colleges and lower cost of operations (real estate etc).

After the Union Ministry of Health came out with patient compensation guidelines in case of clinical trials conducted in India earlier this year, drug companies are in a wait-and-watch mode before taking a call on whether to do clinical trials for drugs here or outsource them overseas.

This has, in turn, meant loss of business for clinical research firms. Also, as the Drug Controller General of India (DCGI) has retracted from its role of approving drug trials in the country and has yielded the responsibility to a 10-member committee the New Drug Advisory Committee (NDAC) during 2011, delay in getting approvals to conduct trials has also hit the industry at large.

A senior official of an Ahmedabad-based CRO said that recruitments have remained flat last year as new business growth has slowed down. As such, salaries of clinical data specialists and medical writers in India are around 15 per cent and 9 per cent respectively of what they get in the US. Salaries of entry level professionals in Gujarat is around Rs 2.5-4 lakh per annum and that has remained static since the last one year, the source claimed.

While there has been some recruitment relatively new areas like data operations etc, but recruitments in mature verticals has been more or less stagnant.

A senior scientist in another city-based CRO which has presence in South East Asia, said on grounds of anonymity, "Many drug companies are shifting their phase one trials out of India, mainly to countries like Netherlands and Malaysia. It is relatively easier to conduct clinical trials in these countries."

While this increases the research and development cost of these companies, domestic CROs stand to lose business.

However, during the later half of 2012-13, as more and more CROs choose to shift focus from clinical trials to data-related services, processing of bio-markers etc, these areas are likely to see some spurt in demand for professionals.