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Indian pharma cos stand to benefit as US faces shortage of injectable drugs

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According to the US FDA, currently there are at least 120 drugs in shortage in the US, of which, the majority are injectables.

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The US has frequently faced shortages of drugs with manufacturing and quality issues being the prime factor. According to the US FDA, currently there are at least 120 drugs in shortage, of which, the majority are injectables.
So, why are injectables seeing such a shortage in the US?
Quality and manufacturing issues are a major reason as approving and manufacturing injectables is a much more stringent process than that for oral drugs. Other reasons include delays in raw materials and business decisions to discontinue older drugs.
As the US faces a shortage of injectable drugs, Indian pharma companies like Gland Pharma, and Suven Pharmaceuticals stand to benefit.
“India focused companies should do relatively well and within the pact among the domestic or the India focused names, we prefer Ipca Laboratories followed by Ajanta Pharma and JB Chemicals and Pharmaceuticals," said Abdulkader Puranwala, VP-Healthcare at Elara Capital.
“Contract manufacturing is another preferred area and within the pack, I like Gland Pharma and Suven Pharmaceuticals. Gland Pharma is more of an injectable aggregator and it not only benefits from the shortages into the US but also the new products, what companies like Dr Reddy’s and Aurobindo have been filing,” he added.
For more details, watch the accompanying video
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