Pharma's Next Gen

A group of inheritors takes charge with new ideas and new strategies.

- Rajeev Dubey

India’s venerated $37 billion pharma industry is at the crossroads. The road to new drug discovery – after decades of disappointing results – is famously pot-holed and, with half-discoveries being touted as new drugs, appears to be leading nowhere; The road to money-spinners such as Para-IV exclusivity, generic-generics and branded generics is facing rapid speed-breakers of competition, commoditisation and price erosion. In the interim, domestic pharma majors went on the road to tactical M&As to foster growth. But the most promising road is the way to complex generics, specialty drugs and bio-similars. It is also the most arduous, requiring a decoction of cutting-edge science, speed and agility and outstanding selling prowess – neither of which is Indian pharma majors’ strength.

That calls for reassessing the ground realities and implementation of new strategies, fresh thinking and, most importantly, fresh blood. Just as the doctor ordered, the scions – some second generation and some third – of Indian pharma majors are readying to take on this onerous responsibility.

This is a watershed moment. If they succeed, India will still have a home-grown pharmaceutical industry. If they don’t, the domestic pharma landscape will be peppered with foreign-owned Indian pharma companies, a trend that has accelerated since the beginning of this decade.