India is one of the largest manufacturers of pharmaceutical products in terms of volume and it is growing regularly. But the pharmaceutical industry is facing continuously different challenges from bio-similar products to government policies.
We have come across some of the major challenges faced by the Pharmaceutical industry listed below.
A biosimilar product is actually a copy of the original product which is manufactured by a different company but the pharmaceutical salt remains the same. These are the officially approved versions of the original product and these can be manufactured when the patent is expired.
What is the challenge?
The pharmaceutical industry is facing this challenge for a long period of time. There are n numbers of manufacturers in the Pharmaceutical industry that are manufacturing the same products with the different names. It creates the highly competitive market for the Pharmaceutical industry.
United State is one of the largest consumers of Pharmaceutical products so it has become essential that all pharmaceutical products need to follow the guidelines provided by USFDA and manufacture the products accordingly.
The Pharmaceutical industry is highly disintegrated, it is full of thousands of Generic manufacturers and it creates the high level of competition.
It also causes instability and confusion. This seems not to be a good indication for the Pharmaceutical industry.
The pharmaceutical industries need to frame their organization in such a way that can enable better operational ability.
This industry faces low-profit margins due to government pricing policies. This problem arises due to government strict pricing policies for the betterment of the general public and the profits earned by the companies is not sufficient enough
The Government needs to take this into consideration and find out a way to promote the Pharmaceutical companies.
Above mentioned point directly affects the R & D for the pharmaceutical companies. As the profit margins are low, due to which companies are not able to develop the products the way they want.