Ernst &Young >Industries>Pharmaceutical Overview - Ernst & Young - India

Helping you map the right way forward

Pharmaceutical companies are facing great changes to the industry — emerging science, new products and services, shifting demographics, evolving regulations, transforming business models and increased stakeholder expectations.

We bring together our worldwide team of professionals to help you achieve your potential — a team with deep experience in providing assurance, tax, transaction and advisory services to pharmaceutical companies around the globe. It’s a team that works to anticipate market trends and their implications. So you get practical advice on the right way forward for your organization.

The key trends being observed in the Indian pharmaceutical industry are:

• Changing face of the domestic market - The introduction of product patent regime, increasing healthcare expenditure, advent of biologics, opportunities in untapped rural markets and a rapidly evolving distribution and retail system have resulted in a change in perception as a result of which India has emerged as a focus area for global pharmaceutical players.  However, the domestic industry continues to faces challenges in the form of government controlled pricing in a highly fragmented market, selection of the right therapy-cum-market mix, sales channels and issues around new product launches.
• Emergence of Indian players in the global arena - Indian companies are looking to aggressively expand their global footprint through partnerships and acquisitions, apart from organic growth. Herein lies the challenge of managing global supply chains; maintaining cost competitiveness in a global market witnessing eroding prices and increasing competition; integration of assets acquired globally; and instituting a compliance environment that cuts across several regulatory regimes.
• Development as a global sourcing hub - Right from the infrastructure for research and clinical trials to availability of state-of-the-art manufacturing capabilities, Indian companies have capabilities to offer products and services meeting the highest global standards at highly competitive prices. On the other hand, issues of data protection, adherence to cGMP guidelines, technical and research capabilities are areas where careful treading is needed.

We work with MNCs, domestic Indian pharmaceutical companies, as well as leading Contract Research and Manufacturing Opportunity (CRAMS) and private equity players to help them achieve their business potential. We provide a perspective on critical issues and developments in the industry through our thought leadership publications. Our services span market assessment, entry strategy, growth strategy, M&A advisory, strategic cost management, performance management, commercial  due diligence providing solutions across the compliance spectrum including assurance, Internal audit as well as enterprise and technology risk management.