Pharma sector to get more funds from Government for innovation and research
In an attempt to push research in the pharmaceutical sector, the government is planning to set up a Rs10,000 crore venture capital cialis sale (VC) fund to provide much-needed financial assistance to the players.The government will contribute 15% to the corpus and the rest would be raised from other interested investors.
The funds would be raised in three tranches —- Rs3,000 crore in 2011-12, Rs 5,000 crore by 2013 and Rs 2,000 crore by 2015. The complete fund would be utilised by 2015.The plan is to provide financing for new drug discovery projects and for biopharmaceutical products in the country.The department of pharmaceuticals will invite bids from advisors to prepare a detailed project report on the proposed fund.
The National Institute of Public Finance and Policy is advising the department in the process of selecting an agency to design the fund. The department of pharmaceuticals is looking to turn India into a major producer of affordable biopharmaceutical products by 2020. Currently, the target market is worth $137 billion acomplia dosing globally.
As per the proposal, the government intends to undertake proactive steps on four fronts building infrastructure for talent and research, encouraging public-private partnerships in infrastructure development, providing financial incentives to encourage innovation, and shaping a favourable regulatory environment.
We believe that India should aim to capture 10% of the global market for biosimilars by 2020 and become one of the top five producers in the world. It is estimated that government will need to invest at least $1 billion over the next five years to implement the measures we have identified. If India’s biopharma industry succeeds in realising this aspiration, it will bring in additional revenues of $4.3 billion a year.
Source:[DNA India]
Spiraling prices of Drugs in Indian consumer market
Medicines to cost more for Indian patients as multinational drug makers gain control. Patients may require paying a higher costs for medicines including life-saving drugs in India as more a more multinationals gain control of India’s pharmaceuticals market. Indian companies make generic copies of multinational firms’ highly expensive medicines and sell them at moderately lower costs to the patients.
The domestic formulation business is currently conducted in India, Nepal and Sri Lanka. Currently, Indian government controls only the prices of drugs made of 74 active pharmaceutical ingredients the basic drug in any medicine. Since there is no healthcare insurance offered by the government, more than 90% of patients in India pay for medicines from their own pocket for health costs. And nearly one third of the Indian population is still live below poverty line, without access to basic healthcare. Acquisitions of Indian generic companies by multinationals are a serious matter of concern for civil society, according to activists. As a result, in the year 2007, MNCs market share reduced to 14-15 %.
Since the launch of the patent regime India has given patent protection to several drugs paving propecia effects way to spiraling of prices of drugs such as new generation cancer drugs. MNCs grow keen on India’s Rs 42,000-crore drug retail market which is growing annually at 17%, as per market research firm ORG IMS. India may soon consider bringing in certain laws that could restrict the current 100% rimonabant acomplia foreign direct investment allowed in the sector.
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Source: [Dance with Shadows]