Click here to know more about our subscription packages.
Want to commission a custom market research to suit your needs? We are here to help. Let us know.
Indian pharma retail market is expected to grow in near future as aging and growing population, rising income levels, and emerging medical conditions and emergence of new diseases help increase the demand for various medicines.
As per NAVADHI Market Research, the Indian pharma retail industry (except online pharmacy and hospital pharmacy) will we worth USD 21.35 billion and will have a market share of 64.36% in India’s pharmaceuticals market by 2023. The growth in this market is predicted on the basis of various factors like market drivers, current and upcoming trends, current growth pattern, and market challenges
This growth is fueled by the growing and ageing population in India. More than 6% of Indian population is above 65 years of age and this number is expected to rise by 2023. Apart from ageing and rising population the improvements in purchasing power and access to quality healthcare and pharmaceuticals to poor and middle-class families is also driving the growth of Indian pharma industry. Indian people spend 64.21% of their health expenditure from out-of-pocket of which pharmaceuticals spend accounts for 51.67%.
Other factors which are expected to contribute in the growth of Indian pharmaceuticals market are initiatives by Government of India like Pradhan Mantri Bhartiya Jan Aushadhi Pariyojana and Pradhan Mantri Jan Arogya Yojana (PMJAY). In 2018, Government of India launched the world’s largest public healthcare scheme Ayushman Bharat Yojana or Pradhan Mantri Jan Arogya Yojana (PMJAY) under National Health Protection Scheme (NHPS) which aims to provide free healthcare coverage of up to INR 0.5 million to around 100 million people. Also, under the aegis of Pradhan Mantri Bhartiya Jan Aushadhi Pariyojana the Government of India as set up Jan Aushadhi Kendra (pharmacy stores) which provide quality medicines at affordable prices. These factors are expected to increase the access of pharmaceuticals to more people in world’s second most populous nation leading to growth of pharma retail market in India. Brick and mortar pharma retail stores are typically located in proximity of hospitals, clinics and residential areas which enables easy accessibility to consumers as often they supply time-sensitive medicines for patients.
On the other hand, The Indian Pharma retailing space is largely unorganized in nature with a few players like Apollo, MedPlus, Trust etc. in the organized pharma retailing space. Since the sector sales are driven by sales volumes, achieving economies of scale becomes difficult if only a small percentage of the industry is organized. With major chunk of the industry being unorganized, implementing an efficient distribution system will not be possible which in turn will result in wastage of time and resources. In addition, Pharma retail in rural India has largely remained unaddressed due to which a major chunk of the market remains underserved.
Also aggressive drug price control mechanism like Government mandated drug price controls using drug price control order (DPCO) which is an order issued by the Government of India under Section 3 of the Essential Commodities Act, 1955 empowering it to fix and regulate the prices of essential bulk drugs and their formulations have incased margin pressure for pharma retail companies in India.
As India’s online phamacy and hospital pharmacy market matures, it is expected to eat into the market share of traditional brick and mortar pharma retail market. Also government operated Jan Aushadhi Kendra (pharmacy stores) are expected to give tough competition to traditional pharma retail stores which can affect their profit margins.
Spanning over 88 pages and 56 exhibits, “India Pharma Retail Industry Analysis and Trends 2023” report provides in-depth analysis for the Indian pharma retail market for the year FY2018 to FY2023, including market structure, market trends, market constraints and industry drivers.
This report includes detailed company profiles including their position in Indian pharma retail market value chain, financial performance analysis, business strategy and SWOT analysis for 6 key players in Indian pharma retail market namely: Apollo Pharmacy, MedPlus Health Services Pvt. Ltd., Zydus Wellness Limited, 98.4 Degree (Global Healthline Pvt. Ltd.), Trust Chemists & Druggists Ltd and Emami Frank Ross Ltd.
Do you need more information about this report before making a purchase decision or wish to customize this report to suite your requirements?
If yes, then please use the form given below and we will get in touch with you immediately.
Kindly use your official email address and contact number to ensure speedy response.
View all our market research reports