We Aim To Have Over 2.5 Lakh Chemist Shops Computerised

Technology intervention in the Indian pharma supply chain would enable reduction of mismanagement in inventory and weed out counterfeits from the system, informs Sudhir Singh, Managing Director, Marg ERP to Akanki Sharma

- Akanki Sharma

Why is supply chain management a challenge for the Indian pharma industry? Where does India stand in terms of supply chain when compared to other countries?

Compared to developed countries, supply chain of pharma industry in India is fragmented, and suffers loosely managed inventory threats. A country of our size requires a lot of inclusive pharma distribution which is largely being done via supply chain. We need a large and efficient tech-enabled supply chain to serve the country’s need. Currently, the country has approximately more than two lakh distributors including wholesalers, traders and C&F agents, and approximately over nine lakh retail points. If we talk about the distributors, they are appropriate in number but the retail side of the trade penetrates deeper. It increases every year by 20 percent.

Some experts argue that Indian pharma industry is over-regulated, but being regulated adds up to the products' structured distribution, which, compared to many countries, is far ahead in reach, depth and quality. Nevertheless, there are gaps which need to be bridged before we can actually call the supply chain all-inclusive and secure. We do have possibilities of digitalisation (the digitalisation in the supply chain management through distributors to retailers to customers) that will make it more robust and effective. Currently, there are 70 percent of pharmacists who still need to digitise their business. Technology intervention in the Indian pharma supply chain would enable reduction of mismanagement in inventory and weed out counterfeits from the system.

What software do you have for catering to the Indian pharma industry? How many pharma companies do you offer your solutions to? Kindly name some of these.