Indian Pharma Market to Hit Rs 2.38 Lakh Crore by 2025: Pharmarack Report
New Delhi: The Indian Pharma Market (IPM) is set to grow by 8.2% in 2025, reaching Rs 2.38 lakh crore under a realistic scenario, according to the Market Growth Compass Report by Pharmarack.
This follows an 8% growth in 2024 and a five-year CAGR of 10.4%, driven primarily by price increases and new product launches.
As per the report, key drivers include evolving therapy behaviors post-COVID, normalization of disease patterns since 2022, and the increasing impact of innovative molecule launches and generics as patents expire. Policy interventions like the National List of Essential Medicines (NLEM) updates and bans on fixed-dose combinations (FDCs) further shape market dynamics.
Additionally, growing awareness of obesity treatments, a shift toward over-the-counter (OTC) products, and rising online sales significantly contribute to the changing market landscape.
Also Read: Indian Pharma Market Grows at 9.9 Percent, Vaccine Sales See Sharp Decline: Pharmatrac Report
Therapy-wise, cardiac and gastrointestinal segments are at the forefront of growth, with projected increases of 8.3% and 9.6%, respectively, in 2025. Other notable areas include respiratory therapies at 8.7% and anti-neoplastics at 9.8%. However, vaccines stand out as a declining category, expected to drop by 1.8% under the realistic scenario, highlighting segment-specific challenges.
Three scenarios—optimistic, realistic, and pessimistic—were explored to provide comprehensive insights. The optimistic scenario projects Rs. 239,893 crore (9% growth), driven by rapid adoption of new therapies, while the pessimistic scenario suggests Rs. 236,285 crore (7.4% growth), accounting for slower market adoption and other constraints.
Also Read: Indian Pharma Market Posts Robust 10.7 Percent Growth In November, Foracort Tops Sales: IQVIA
