Pharma Market Rebounds in September 1st Time Since Covid-19

For the first time since the pandemic, the domestic pharma retail industry bounced back, recording a rise of over 4% in September, helped by improved sales of chronic drugs and anti-virals used to treat coronavirus. This stems from the optimistic developments in macro-economic indicators, boosting expectations that the economy will pick up.

Since March, the business, estimated at around Rs. 1.5 lakh crore (US$ 20.44 billion), had been sluggish, even during the lockdown the industry itself did not face restrictions as it was classified as an important service. Due to the absence of prescriptions and lower OPD (outpatient department) visits, the pharma market plunged into negative territory in April and May.

Cardiac medicines reported a 17% growth during September compared to 11.5% in the previous month, while anti-diabetic drugs increased by 6.5% (1.6%). According to data collected from pharma research firm AIOCD Awacs, the growth in respiratory medicines stood at -10.5% in September, compared to -12.4% in August. Vitamin sales have bounced back during the month with a rise of 16.3%, compared to 6.2% in August, while pain and analgesics stood at -4.3% (-9.8%).

Due to tepid sales of acute therapies, growth has been pulled down over the last few months, with a lower incidence of fever and normal flu as most people stayed indoors due to the lockdown.

Source: IBEF