With China easing regulations in the pharma sector, many Indian players are now showing interest in foraying into that market, Pharmexcil chairman Dinesh Dua said here on Monday. He was speaking on the sidelines of a workshop on regulatory practices in China and dossier filing with Chinese regulator, National Medical Products Administration (NMPA), here on Monday. There are about 40 players from India currently exporting to China and this number is expected to go up significantly, said industry experts. In 2017-18, Indian pharma exports to China stood at $200 million, a 37% rise over the previous fiscal. Pointing out that the pharma market in China is pegged at a whopping $122 billion, Dua said this is the right time to enter as the cost of medication in China is six to seven times higher than India. “We have been importing APIs, intermediaries and KSMs (key starting material) from China but once we start exporting formulations, there will be some sort of balance,” he said.
According to Dua, not many players were keen on the Chinese market earlier as product approvals would take anywhere between four to five years, but now with the new relaxed regulatory regime, approvals are expected to come within a year’s time for players who have FDA and EU approved units. “If you have FDA, Europe approval, they will put you on the expedited list,” he added. Dua said entering into JV with local players is the best way to make further inroads into China and many Indian companies have already begun exploring this option. Earlier this month, Aurobindo Pharma’s wholly owned subsidiary, Helix Healthcare BV, Netherlands, had entered into an agreement with Shandong Luoxin Pharmaceutical Group Stock Co Ltd, China (Luoxin), to establish a joint venture company in China to manufacture nebuliser inhaler and other products for China, US and EU markets. While Pharmexcil is betting big on this opportunity and is collaborating with Chinese trade and industry bodies to help Indian players boost their trade in that country, PV Appaji, director general emeritus, Pharmexcil, said the window of opportunity for the Indian pharma players is very narrow as it is only a matter of time before China overcomes its domestic issues and starts manufacturing cost competitive generic drugs.
Source : timesofindia.indiatimes.com
Published on: January 2, 2019