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The health sector in India is at a crossroads. In a recently published study, it was recognised that India has huge opportunities, but also major problems facing its health system. What is apparent is that the pharmaceutical industry can benefit significantly. Their highly unsaturated market should, over the next seven years, grow by more than 15% per annum. The most important driver here is the generic drug product range, which is responsible for 95% of total sales.

This market is, however, in a country that invests only a small proportion (4.2%) of its GDP on healthcare, not least because of the infrastructure problems arising. Thus, the Indian health sector in its current structures are hardly in a position to meet the growing demand. There is already a lack of qualified staff and capacity (0.9 hospital beds per 1000 inhabitants). And, only 20% of the population has any type of health insurance policy.

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