Pharma exports seen growing at 8%
At the time when exports in other sectors witnessed a negative growth due to slowdown, pharmaceutical exports are expected to register a growth of around 8 per cent in 2009-10, reports Sachin Kumar.business Updated: May 13, 2010 22:52 IST
At the time when exports in other sectors witnessed a negative growth due to slowdown, pharmaceutical exports are expected to register a growth of around 8 per cent in 2009-10. Based on the trends available so far, Pharmexcil (Pharmaceutical Export Promotion Council) pegs the growth in the range of 4-8 per cent in 2009-10. Final figures regarding the exports will be available in July.
“Considering the financial meltdown last year, it can be said Indian pharmaceutical sector has weathered the slowdown well,” said Smitesh Shah, chairman, Phamexcil. “Due to the slowdown, companies in importing countries used inventory and avoided fresh orders,” said Shah.
The Indian pharma sector has witnessed an average growth of around 8-10 per cent in last few years.
Taking the conservative side of the projection, export of drugs, pharmaceuticals and fine chemicals may touch $9,000 million (Rs 40,500 crore) in 2009-10. The export of was $8,610 million (around Rs 38,700 crore) in 2008-09, up 12.6 per cent from the previous financial year. The export stood at $7,644 million in 2007-08.
The United States is the major driver of growth in export and accounts of around 18-20 per cent of share in India’s total pharmaceutical export.
“The UK, Germany, Vietnam, Russia and Thailand are the other countries that have contributed to the growth of pharma exports,” said Shah.