Argentina open for Indian pharma
The Latin American nation has opened its US$ 6 billion pharmaceutical industry to Indian companies. This move will provide a definite boost and a new avenue to an untapped market to Indian companies who have globally- approved manufacturing facilities.
Argentina has fully opened its US $ six billion drug market to Indian pharmaceutical companies. Earlier, the scope of exports was limited to raw materials, due to local laws.
With this move, Argentina has opened its market for finished pharmaceutical formulations as well.
PV Appaji, Director General of Indian Pharmaceuticals Export Promotion Council, said, “With effect from August 8, the Latin American nation has included India on the list of countries that can supply medicines to it.”
Argentina's pharmaceuticals market is expected to reach US $15
The industry pioneers believe that the decision will take time to be implemented as the registrations and approvals are very time-consuming
billion by 2020. Eight key markets of the Latin American region are now valued at over US $30 billion, regis- tering a compound annual growth rate (CAGR) of over 10%.
In 2012-13, India sold $44.85 million worth of bulk drugs to Argentina. The development will especially boost exports of Indian companies that have globally approved manufacturing facilities
"Our companies can supply generic drugs at nearly half the price of Argentina's locally made drugs, enabling the Latin American country procure quality drugs at affordable costs," Appaji said. He further elaborated, “The move will help Indian drug companies access one of the largest pharmaceutical markets in the Latin American region."
Industry pioneers believe the decision will take time to be implemented as registrations and approvals are time-consuming.
Arvind Vasudeva, Business Chief Executive,
Aurobundo Pharma, said, “We need to wait for the kind of regulations Argentina will come out with and the time it would consume for product registrations. At present, it takes 24-30 months in Mexico and 4-7 years in Brazil for product registrations and approvals.”
Alok Dalal, Pharma Analyst, Motilal Oswal, said, “Indian firms may have to wait for at least 2-3 years after investing on product registrations and approvals to generate returns.”