Industry experts are confident that
there is no way for US to ignore India now. There is expertise, cost advantage
and comprehension about biologics production which has led global pharma majors
partner with many companies here, they point out.
For instance, till five years ago most biosimilar developing firms were
contracting development of cell lines to USA and UK. Recently, however, this
trend has changed with certain Indian firms, such as Reliance Lifesciences,
Cipla and Biocon being able to develop cell lines in-house.
While the US depends on China and South East Asia for outsourcing, there is a
clear sign that despite the Euro crisis, several companies are coming up in the
European Union for the production of biosimilars and are looking at India. The
European Medicines Agency guidelines are already in place for biosimilars and
vaccines for Indian companies to initiate the process.
The demand for biosimilars is likely to increase as Indians are becoming more
affluent and healthcare insurance coverage widens. Moreover, considering the
cost advantages that India can provide, the country has a great potential for
future growth in the biosimilars market.
The high cost of biologics has contributed to the increasing and unsustainable
overall health expenses throughout the world. In the US, 43% of the drug budget
for Medicare Part B is consumed by 6 biologic drugs. This immense burden has
led many countries to develop a regulatory framework which can approve biosimilars
to provide entry of low cost alternatives to originator drugs, according to Dr.
Reddy’s Biologics Devpt Centre.
For instance, till five years ago most biosimilar developing firms were contracting development of cell lines to USA and UK. Recently, however, this trend has changed with certain Indian firms, such as Reliance Lifesciences, Cipla and Biocon being able to develop cell lines in-house.
While the US depends on China and South East Asia for outsourcing, there is a clear sign that despite the Euro crisis, several companies are coming up in the European Union for the production of biosimilars and are looking at India. The European Medicines Agency guidelines are already in place for biosimilars and vaccines for Indian companies to initiate the process.
The demand for biosimilars is likely to increase as Indians are becoming more affluent and healthcare insurance coverage widens. Moreover, considering the cost advantages that India can provide, the country has a great potential for future growth in the biosimilars market.
The high cost of biologics has contributed to the increasing and unsustainable overall health expenses throughout the world. In the US, 43% of the drug budget for Medicare Part B is consumed by 6 biologic drugs. This immense burden has led many countries to develop a regulatory framework which can approve biosimilars to provide entry of low cost alternatives to originator drugs, according to Dr. Reddy’s Biologics Devpt Centre.
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