Patent Coverage Leads Indian Drug Makers Into Ties With Foreign Firms

Executive Summary

India's three year old ban on generic copies of drugs still under patent coverage has led the pharma industry to turn to inlicensing and strategic marketing deals with foreign companies. A pharma researcher said the deals offer higher margins, between 25 percent and 35 percent, without competition from other generics. Ranbaxy Laboratories has the largest number of ties with other drug makers, allowing it to launch 12 new products in the recent three month period. The ties also lower the amount of investments needed in the business and fewer risks. (Click here for more