OTC Market in India

• Population - 1.1 Billion

• GDP - 1,170,968 million USD

• GDP growth rate - 9%

• Gross national income per capita (PPP international $): 2,460

• Total expenditure on health per capita(Intl $, 2006): 109

• Total expenditure on health as % of GDP(2006): 4.9

Source: World Health Statistics 2008

• 700 million people have no access to specialist care

• 80% of specialists live in urban areas

• Currently the Indian OTC market (i.e. advertised non-prescription medicines) is estimated to represent approximately USD 1,793 million

• OTC sales account for about 18% of total pharmaceutical sales

Private health expenditure as percentage of GDP

Doctor patient ratio in India is 1:1700

30% of Beds for >70% of population

Most money spent on Vaccination and primary prevention.

Growth rate• Rural

12.75% • Urban

15.15%

Indian behavior in illness.

Datamonitor

Points of sale.

Datamonitor

“Maximum number of OTC drugs sold by qualified chemists and pharmacists are from branded companies like Pfizer Inc., share of which is estimated at about 8%, followed by Sanofi-Aventis 7% and Johnson & Johnson 5.5%..”

-Assocham study, 2008.

The Associated Chambers of Commerce and Industry of India (ASSOCHAM)

• Currently, aches/pains, cough, colds, hyperacidity, minor topical infections and indigestion are major OTC categories.

• Emerging categories include cuts, wounds and burns, muscle pains and sprains, diarrhea and constipation.

• 'Prescription drugs' fall under two schedules of the Drug Rules, 1945 –

Schedule H and Schedule X.

• No separate list of OTC drugs

• What is not prohibited is permitted. Thus, all the drugs which are not specified in the list of 'prescription drugs' must be considered as non-prescription drugs (or the OTC drugs).

• The Drug & Magic Remedies (Objectionable Advertisement) Act mentions a list of ailments for which no advertising is permitted.

• The DCGI’s office in collaboration with the Organisation of Pharmaceutical Producers of India (OPPI) -has released a Voluntary Code on OTC Advertising which is being followed by all OPPI member companies.

• There is also an OPPI Code of Pharmaceutical Marketing Practices, January 2007, based on the IFPMA code.

http://www.indiaoppi.com/OPPI%20Code%20of%20Marketing%202007.pdf

• digestives• antacids• antiflatulents• cold rubs and analgesic balms/creams• vitamins/tonics/health supplements (especially herbals) • medicated skin treatment• analgesic /cold tablets• antiseptic creams/liquids• glucose powders• cough liquids• throat lozenges• medicated dressings (band-aids)• baby gripe water.

• OTC Drug Marketing – Global Trends and Indian Experiences Ajith Paninchukunnath*

• The Emergence of India’s Pharmaceutical Industry and Implications for the U.S. Generic Drug Market-William Greene, U.S. International Trade Commission, May 2007

• India’s Rising Growth Potential- GS GLOBAL ECONOMIC WEBSITE Economic Research from the GS Institutional Portal at https://portal.gs.com

• Central Drugs Standard Control OrganizationDirectorate General of Health Services, Ministry of Health and Family Welfare, Government of India

• India OTC Profile 2008http://www.indiaoppi.com/India%20OTC%20Profile

%202008.pdf

• Census, Government of India

Economic survey-2008

• Healthcare in India-Emerging market report 2007

• OTC Marketing of DrugsVijay Bhangale*- International Marketing Conference on Marketing & Society, April, 2007, IIMK

Dr.Neelesh BhandariM.B.B.S (AFMC),M.D (Path)P.G.P in Human Rights

Advisor ( Medical Communications)Mark IV Animation Studios Pvt. Ltd.