What's bad news for Big Pharma is good news for generics makers. While branded drugmakers prepare to suffer from generic competition for some of their biggest drugs, generics firms are rubbing their hands together at the prospect of boosting their own revenues with knockoff versions.
Just look at Dr Reddy's Laboratories. Chairman K. Anji Reddy tells Business Line that the company he founded will be able to reach blockbuster proportions by 2013. The company posted $600 million in global generics sales for the first nine months of the current fiscal year. "While analyzing our global generics segment recently," Reddy said, "I have told our people that we will be able to sell a billion dollars worth of generics [within] three years."
Though Reddy didn't say why he's so optimistic, analysts did it for him. They told Business Line that it's the looming demise of Big Pharma's biggest earners. "Some of the drugs like Pfizer's Lipitor will be off-patent in the next three to four years," Satish Kanteti of Zen Securities said. "Dr Reddy's as a generic drug maker is well positioned to take [advantage of] the opportunities."
- read the Business Line piece
ALSO: The Indian government said multinational drug companies are campaigning against the domestic pharma industry, because the increasing global presence of Indian generics is adversely affecting Big Pharma's business. Report