India's pharma industry logged an impressive 11.5% year-on-year (YoY) growth in June 2025, driven primarily by a seasonal increase in acute therapies, in the latest monthly report by Motilal Oswal Financial Services.
This is a sharp improvement from the 7% growth in June 2024 and a significant one from the 6.9% expansion in May 2025, reflecting a sustained trend of growth in the sector.
The growth is attributed by the report to the exceptional performance of certain therapy segments like respiratory, cardiac, central nervous system (CNS), and pain management, all of which performed better than the total market.
The acute therapy segment grew to 11% in June, up from 7% in June last year and 5% in May 2025. The anti-infectives category, especially, recorded a steep YoY recovery after experiencing slower growth for many months.
During the last 12 months, the growth of the Indian pharma market has been aided by a mix of price rises (4.2%), new launches (2.3%), and volume increases (1.5%).
According to the report, the moving annual turnover (MAT) of the industry also increased by 8% YoY, supporting the sector's strong growth pace.
Within therapy groups, chronic therapies recorded 10% YoY growth, while acute therapies increased by 6.8%. Among segments, cardiac drugs took the lead with an 11.8% YoY growth, followed by CNS therapies with 9.1% and dermatology with 8.6%.
But the anti-infective and respiratory segments trailed the overall IPM performance, falling short by 290 and 250 basis points, respectively.
As of MAT June 2025, acute therapies held 60.8% market share of the Indian pharma market, upholding their predominance even with divergent YoY growth.
The report also mentioned a more robust performance by local pharma players over their multinational counterparts. Indian companies, now dominating the market with 84% market share, saw a YoY growth of 11.6% in June 2025, though a fraction less than the YoY growth of 11.2% achieved by multinational companies.
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