First indigenously developed Indian drug to come up in 2-4 yrs

New Delhi, June 7 (PTI) The Indian pharmaceutical
industry is likely to develop its first indigenous drug in the
next two-four years and the total investments in R&D is
expected to touch over USD one billion by 2015, consultancy
firm Ernst & Young has said.

"Some (India) companies have molecules in phase-III
clinical trials and once its growth is planned then one expect
an indigenous NCE commercialised molecule launch in the next
2-4 years," Ernst & Young Partner Health Sciences Practise
Ajit Mahadevan told PTI.

At present, Indian companies have around 66 new chemical
entities (NCE), of this nearly 40 are in the preclinical stage
while remaining are in various stages of clinical development,
he said.

According to Mahadevan, the total investment in Research
and Development (R&D) in the pharmaceutical sector is likely
to touch over one billion dollar by 2015.

"Key Indian pharma companies are significantly revamping
their R&D plans and are likely to spend more than a billion
dollars on NCE research by 2015," he said.

According to industry experts, the total investment in
R&D in India was USD 495 million in 2006 and has grown at a
compounded annual growth rate of 38 per cent per annum between
2001 and 2006.

Meanwhile, Piramal Healthcare Director Swati Piramal has
said the entry of first Indian molecule would enhance the
image of the domestic industry globally and would completely
change its face.

Echoing the similar sentiments, Indian pharmaceutical
Alliance Secretary General D G Shah said: "Entry of first
Indian drug would garner a respect for the domestic industry,
which is generally regarded as the copycat of drugs."

Though Indian pharma companies are no match in term of
the financial muscle with multinational pharmaceutical
companies. They nevertheless enjoy advantages of the cost
competitiveness, access to large talent base and vast patient
population for clinical development, he said.

As a result there is a significant reduction in the total
drug development cost and development timeliness, he added.

While there is a progress, it must be understood that
India's discovery research programmes are in their infancy and
the future success will determine the sustainability and
growth of Indian pharmaceutical companies, Mahadevan said. PTI
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