30 / 148
Atul Ltd | Annual Report 2013-14
Products
APIs, API Intermediates, Others
Pharmaceuticals and Intermediates Business mainly comprises
API intermediates and a few APIs. The products are used by
customers belonging to Pharmaceutical industry, under five
broad therapeutic categories, namely, anti-depressant, anti-
diabetic, anti-infective, anti-retroviral and cardiovascular. The
Business comprises about 38 products.
During 2013-14, sales decreased by 3% from
`
314 cr to
`
306 cr. Sales in India increased by 1% from
`
171 cr to
`
172 cr. Sales outside of India decreased by 6%
`
143
cr to
`
134 cr and formed 44% of the total. Degrowth on
account of volume was 7%. Sales from new products were
`
7 cr. The Company completed 8 projects and undertook 3
projects for implementation. Atul Bioscience Ltd, a 100%
subsidiary company, focussed on production of advanced API
intermediates, sales of which increased by 30% from
`
27 cr to
`
35 cr, primarily because of volume; and it completed capacity
expansion in both of its plants.
World market for pharmaceuticals is estimated at US$
820 bn (comprising US$ 700 bn prescription drugs and
US$ 120 bn generic drugs) and is growing at about 5%. Indian
pharmaceuticals market is estimated at US$ 22 bn (including
sales out of India) and is growing at about 10%. There are
Pharmaceuticals
about 20 major companies which dominate the world
marketplace in prescription drugs space with share of about
65% and about 8 companies in generic drugs space with
share of about 70%.
The main user industry, namely, Pharmaceutical, is growing
well because of increasing awareness about diseases
and health. The Company along with Atul Bioscience will
participate in this growth by i) widening its market reach, ii)
increasing its manufacturing efficiencies, iii) generating and
adding capacities and iv) introducing new products. It will
also form long-term alliances with other companies.
Prices of many products come down significantly in a short
time. Fluctuations in foreign exchange may impact sales
realisations.