The top 10 generic pharmaceutical companies in 2017 operate in the relatively recession-proof pharmaceuticals industry which is immune from the vagaries of economic cycles. The huge R&D expense and expertise required to develop new medicines is a big entry barrier and the patent laws allow pharmaceuticals companies to make monopolistic profits for a new product for long periods of times.
Healthcare has made rapid strides over the last few decades. Still, many people throughout the world do not have access to good health because they cannot afford expensive medicines. Branded drugs are more expensive because they are newer, innovative and typically for difficult conditions. However, with the passage of time, these original medicines become generic. Generic drugs are copies of branded drugs bioequivalent to the brand drug, i.e. having the same quality, strength, purity and stability.
The U.S. Food and Drug Administration requires that generic drugs be as safe and effective as brand-name drugs. Generic drugs tend to be cheaper because the manufacturers do not incur any developing or marketing expenses. The healthcare professionals around the world also trust these products and regard them as a symbol of affordable and high-quality medications.
The healthcare sector has a bright future both in developed as well as developing countries. A fast aging population in Asian countries, the USA and Europe is the major demand driver in developed nations while improving affordability in developing nations like India should increase demand for the generic pharmaceutical products.
Most of the top 10 generic pharmaceutical companies in 2017 are Indian pharmaceutical companies. The country has become the largest provider of generic medicines globally and is also expected to expand going forward. The main reason why the country has prospered is due to its low cost of production which gives a competitive edge over the other countries.
However, the generic industry in the U.S. is rapidly changing. With the US Food and Drug Administration now speeding up the process of product approval, a higher number of generic drugs are now available at reasonable prices. Industry experts are expecting that generic drug makers will feel the pressure amid declining prices. This has also led to an increased level of competition.
Starting on the next page, we have listed the top 10 generic pharmaceutical companies in 2017 using various sources, like Pharmaceutical Tehnology.com and FiercePharma.com. These are then ranked on the basis of their revenues for the last 12-month period.
Head to the next page to begin the list!