Question : TAKE OVERS OF INDIAN PHARMACEUTICAL COMPANIES



(a) the quantum of drug business in the country in terms of rupees and the position of Indian Pharmaceutical Industry in the world;

(b) whether the Indian pharmaceutical companies are being continuously acquired by the Multi-National Companies;

(c) if so, the likely impact of such acquisition/take overs on the prices of drugs in the country; and

(d) the efforts made/being made by the Government to bring quantitative and qualitative improvement in the pharmaceutical industry?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (SHRI SRIKANT KUMAR JENA)

(a): The Indian pharmaceutical industry turnover during 2009-10 was Rs. 104209 Crores. The country now ranks 3rd in terms of volume of production and 14th largest by value.

(b) & (c): The recent takeovers of Indian companies by MNCs could increase the possibility of other takeovers of Indian companies which would have impact on the Indian health care scenario as well as on pricing and availability of medicines in India. As such an appropriate assessment requires to be made. The Department of Pharmaceuticals have requested the Department of Commerce to conduct a study on the recent takeovers of Indian companies by the MNCs. Thereafter, the recommendation could be placed before the Economic Advisory Council to the Prime Minister and/or the Competent Authority.

(d): The Pharmaceutical Policy as amended from time to time has been giving impetus to the pharmaceutical industry for providing quality medicines at reasonable prices to the masses.