The small and medium scale pharmaceutical sector stole the show on the second day of the 58th Indian Pharmaceutical Congress (IPC) by proposing cluster-based approach to overcome the multiple threats that are currently threatening their existence.

The SME drugs sector of the country is thinking of taking cue from the success story of Tirupur textile clusters to repeat a similar history in drugs and pharmaceuticals. The SSI sector, under the joint auspices of Organisation of Pharmaceutical Manufacturers (OPM), Federation of South Indian Pharma Manufacturers Association (FOSIPMA) and Confederation of Indian Pharmaceutical Industry (CIPI-SSI), is exploring the possibilities of developing cluster models to tap both the export as well as the domestic market. The proposals came up during a well-attended panel discussion on ‘SSI Pharma Industry – Does it have a future?’ here. Speaking on the occasion, Deepak Padia, former president Ahmedabad Pharmaceutical Manufacturers Association outlined the future growth strategy for the SME sector.

According to Padia, 10 to 20 small-scale companies should join together and share the expenses of marketing their combined product basket abroad. The consultancy charges, dossier preparation expenses and registration fees get shared in this process. The companies can also have common overseas agent and marketing network thereby furthering the advantages.

The programme had the representation from most of the state pharmaceutical associations representing SSI sector. The representatives mooted the idea of having a similar arrangement to share the resources within the country also. Region specific marketing of the products of member companies, collective bargaining for best deals for upgradation of facilities, joint testing facilities etc. were some of the suggestions that gained ground during the occasion.

This is the third consecutive year that the SME sector is utilising IPC as an ideal platform to model their action plan - both short term, as well as long term.