Strong pick up in volumes led to a double-digit growth in domestic pharmaceuticals sales in July.
Drug makers posted sales of Rs 11,926 crore last month, a growth of 13.2 per cent over the same period last year, according to data released by market research firm AIOCD-AWACS.
Overall growth in the pharmaceuticals industry in May and June was contributed by price hikes and product launches.
Volume growth in the domestic market had turned negative in the last two months but was a big growth driver in July. In fact, volume contribution to overall sales in July was the highest since last October, industry sources said.
Among the therapies, anti-infective and respiratory segments showed 16.1 per cent and 17.9 per cent growth, respectively.
Dermatology, gastro intestinal drugs and vitamins also logged double digit growth. Sales growth in the month was also positively influenced by the seasonal factor – rise in monsoon ailments.
Pharmaceutical companies said sales initiatives and ramp up in field force are also driving growth. “It has been a year since we launched our commercial operating model, investing resources in focus products to drive growth. Identified key therapies were also supported by investment in incremental addition to the sales force, which expanded our reach by over 30 per cent.
Early results have been very encouraging. Our promoted brands show a high double-digit growth for the quarter as expected, supported by strong in-market performance growing significantly faster than the market.” said A Vaidheesh, managing director, GSK Pharmaceuticals.
Chronic therapies continue to be a growth driver and anti-diabetic, cardiology and central nervous system segments reported double digit growth in July.
“Though a single month data is not a good indicator, due to seasonality, one can expect the pharmaceuticals industry to continue growing – at least in high single digits. With improved diagnosis, early access and lifestyle changes, treatment of non-communicable diseases will continue to drive the sector’s growth. Furthermore, we know that health care is high on the agenda of the present government. That should also boost access to medicines and in turn, industry growth,” said Rajaram Narayanan, managing director, Sanofi India.