After having one of the best quarters in about a year, domestic pharma market growth slipped to mid-single digits in October as the monsoon extended this year.
According to data from the market research firm AIOCD AWACS, the Indian Pharmaceutical Market (IPM) growth rate slipped to 5.1 per cent to Rs 1.22 trillion after an 11.9 per cent growth in September. During the July-September quarter, market clocked 11.5 per cent growth rate buoyed by growth in both volumes and prices.
AIOCD noted, “What appeared to be good times ahead for IPM post the 11.9 per cent growth recorded in September 2019, October market data comes as a surprise, where market growth slipped to 5.1 per cent. The extended monsoon seems to have come to an end. October 2018 had seen a growth of 12.5 per cent.”
The drop in growth for the month of October 2019 has been seen across the therapies.
Anti-Infective market showing a growth of 2.9 per cent, cardiac market at 7.9 per cent, gastro-intestinal market at 4.7 per cent, the antidiabetic market at 6.4 per cent and vitamins showing growth of 2.3 per cent. After the monsoons, the acute therapies (that account for 47 per cent of the IPM) grew by 7.9 per cent, while the chronic therapies clocked an 11.5 per cent. The volumes dipped in October (declining by 2.7 per cent) compared to a 3.5 per cent growth in September.
AIOCD said, “The volume growth of (-2.7 per cent ) is quite lower than the rolling average of 12 month volume growth of 1.5 per cent.” In the past 12 month the average price growth has been 5.1 per cent and new product growth has been 2.5 per cent.