“Shadow” Contract Manufacturing Industry Increasing – Life Science Leader
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The combination of increased government healthcare coverage, ballooning government debt, and massive expiry of patent protection on originator drugs has spurred an interest in sourcing generic active pharmaceutical ingredients and finished drugs from lower-cost countries.
In this context, India has emerged as a powerhouse in supplying the Western pharmaceutical markets. India now ranks second to the U.S. only in terms of FDA-inspected facilities and number of active DMFs (drug master files), and it provides great value for a relatively secure supply of pharmaceuticals.
U.S.-based pharmaceutical companies now have numerous strategic supply and marketing agreements in place with the Indian pharma industry. Allergan and Pfizer with Nicholas Piramal, Wyeth with Bharat Biotech, and DSM with Lupin are examples of such strategic collaborations.
These strategic supply and marketing partnerships extract maximum value for their shareholders as they maximize capacity utilization in India and market share in the U.S. at minimum incremental expense…
Read more – Life Science Leader