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Janaushadhi Kendra and Its Impact on Pharma Market

January 8, 2024

GS Paper II

Context: With the expansion of Janaushadhi Kendra to more than 10,000 centers the pharma companies are facing losses.

Janaushadhi Kendra

Analysis on Generic Medicines and Its Impact on Pharma Industry

  • The rising penetration of generic medicine is denting the growth of the Rs 1.9 lakh-crore domestic pharma market. 

What is Janaushadhi Kendra?

  • Janaushadhi Kendras sell generic drugs that are priced 50 to 60 per cent lower than the popular brands.
  • Implemented by: Pharma & Medical Bureau of India (PMBI), Ministry of Chemicals and Fertilizers.
  • Social Benefits: 
    • Many of Janaushadhi stores are run by women entrepreneurs. Eg- Kerala. 
  • Distribution: Currently, 33 percent of the stores are in South India.  
    • Uttar Pradesh has the highest number of Janaushadhi stores, at 1,481.
  • Drugs: Five out of the top 10 selling drugs at Janaushadhi kendras across India are related to diabetes and hypertension treatment.

About Generic Drugs

  • Generic drugs are drugs with a similar composition as the branded drugs, but made once the patent ends. 
  • India is primarily a branded generic drugs market, where several pharma companies sell their own brands of generic molecules
  • Low Cost: Trade generics are sold directly to hospitals and dis­pen­saries. In the absence of marketing costs, the prices of non-branded generics are very low.

Continue To Read: Generic Medicines


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