In order to tap the so far unutilised vast opportunities in the Japan pharmaceutical market, the Pharmaceutical Export Council of India (Pharmexcil) will initiate several measures in the near future focusing on Japan which is the third largest pharma market in the world.
Apart from participating in the convention of pharmaceutical ingredients (CPhI), a globally renowned pharma event where several pharma manufacturers and traders across the globe visit, the Pharmexcil is seriously considering to organize a 'national conference on Japan' somewhere in September-October this year. CPhI is also organized in Europe, China and recently introduced in India.
The aim of the Pharmexcil is to make Japan among the top 10 destinations for the Indian pharma exporters in a couple of years. At present, Japan is the 22nd destination in term of exports.
Pharmexcil executive director Dr P V.Appaji said, it is noticed that Japanese companies are very keen to enter into Indian market and they are also keenly watching the quality approach of Indian pharma companies. They have shown keen interest towards procurement of APIs, herbal products, outsourcing, research and clinical trial activities. "This is the right time for Indian companies to avail the opportunities available in Japan market. Pharmexcil is considering to organize a national conference on this subject during September-October 2007", he said.
Pharmexcil, which had participated in the CPhI Japan held on April 18-20 this year at Tokyo, is also keen to participate in CPhI Japan 2008 to consolidate the benefits accrued during the last visit.
The Pharma market in Japan is the third largest market in the world and the market has been growing steadily in the recent past. Due to heavy costs of medicare, the government of Japan is encouraging the use of generic drugs and has been liberalizing laws inviting foreign investment and generic drug market.
Though Indian Pharma has made significant inroads into international pharma market and has become major suppliers of generic drugs to sophisticated markets like US, Canada, Europe, Australia etc., the presence of Indian Pharma into Japanese market is negligible.
That the Indian pharma companies are increasing looking at the Japan market is clear from the fact that about 35 Indian companies participated in the CPhI in Japan in April this year. Major Indian companies participated in the exhibition include Orchid, IPCA Labs, Cadila Pharma, Sami Labs, Hetero Drugs, Jubilant Organys, Unichem, Amoli Organics, Bajaj Healthcare, Ind-Swift Labs, Lee Pharma, Suven Life Sciences, Metrochem, Shilpa Medicare, Sunil Healthcare, etc.
The Japanese pharmaceutical market is heavily depended upon API. Of the total market size of around US $ 60-65 million, a significant contribution of 50-60 per cent is from APIs followed by generics. Compared to general drugs, demand and enquiry on herbal and ayurvedic medicines and extracts are more from Japan.
The market is very reserved and the regulations process is a time consuming affair, language is another barrier that hinders the exporters to enter Japan. The Council is trying to make recommendation to ensure increase in export to Japan, he added.
According to statistical data available with Pharmexcil, exports to Japan registered 10.35 per cent growth with Rs.279 crore in 2004-05 in terms of value as against the exports of Rs.252 crore in 2003-04. Some of the major drugs that are manufactured to Japan include cefadroxil, diloxanide furoate, sulphamethoxazole, timethoprin, cephalosporin formulations, extracts of opium, medicines of ayurvedic system, hormone contraceptives and other drugs.