India Ratings and Research (Ind-Ra) has said the 14.1 per cent y-o-y growth in pharmaceutical market during June was led by a normalisation of demand post high growth months of April (51.5 per cent) and May (47.8 per cent).
This was because of the lower base effect and Covid-19 induced demand during the second wave. Ind-Ra expects the normalisation of demand to continue if pace of vaccination remains strong which can reduce instances disruptions in activities during future Covid-19 waves, if any.
The agency expects pharmaceutical market growth of over 10 per cent y-o-y for FY22. During 1Q FY22, the market reported growth of 37.2 per cent aided by lower base effect during 1Q FY21 which was impacted due to the nationwide lockdown.
During June, volumes grew 4 per cent y-o-y, price growth was 5.7 per cent and new products launches were at 4.4 per cent attributed to acute therapy products.
Acute therapies such as anti-infectives, analgesic and vitamins witnessed sales growth of 37.7 per cent, 17.1 per cent and 17.3 per cent, respectively while gastro grew 18.2 per cent during June.
Respiratory therapy growth rebounded to 23.3 per cent, led by normalisation of sales which was earlier impacted due to Covid-19, said Ind-Ra.
Growth under-performance was observed in chronic therapies during the month with cardiac and anti-diabetic growing 8.2 per cent and 4 per cent, respectively.
Cipla, Glenmark and Emcure significantly outperformed the market with y-o-y growth of 19.9 per cent, 38.8 per cent and 24.9 per cent, respectively. This was led by higher sales of Covid-19 related products and continued outperformance of chronic therapies.
