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Europe, Middle East and Africa (EMEA)
8.6%
of Global sales
#6
in South Africa by prescriptions
Expanding Respiratory Franchise
With an estimated value of USD 335 Bn, the pharmaceutical market in Europe, Middle East, and Africa (EMEA) accounts for 26% of the global market. At INR 13,592 Mn, the EMEA region accounts for 8.6% of Lupin’s sales.
The pharmaceutical market in Europe is valued at USD 309 Bn, with the generic business representing more than USD 63 Bn. With major pharmaceutical brand patents set to expire soon, the European pharmaceutical market is expected to grow significantly.
In FY22, Lupin’s business in Europe recorded a decline by 1.7% with sales of INR 6,761 Mn as a consequence of NaMuscla® is our flagship product in the Specialty segment in the region. It is prescribed for the treatment of myotonia in adults suffering from non-dystrophic myotonic disorders (NDM), a severe neuromuscular disease that has debilitating effects.
Europe
low demand due to the pandemic in the first quarter of the financial year.
In FY22, we continued to focus on portfolio expansion and expansion of NaMuscla® beyond the U.K., Germany, and France. Hormosan Pharma Gmbh, our German subsidiary, continues to expand into specialty care while focusing
on two primary segments, Pain management and Neurology. Hormosan’s pain therapy portfolio is fully complementary to its medicinal cannabis product, which offers a unique opportunity to grow the business with optimal investment. In FY22, Hormosan continued to put effort into regaining its momentum in other therapy areas including women’s health and HIV following the easing of pandemic related restrictions.
In U.K., we continue to maintain our leadership position in the ARV segment. We also received positive approval and reimbursement from NICE and SMC for Namuscla, a rare accomplishment for a repurposed medicine. Additionally, we also launched Luforbec®, our first branded generic product in the respiratory segment. This launch represents the first step towards building a significant presence in the respiratory segment in the U.K. and European markets.
South Africa
The South African pharmaceutical market is valued at USD 3.8 Bn. While the market declined by 0.8% YoY, Pharma Dynamics, Lupin’s South African subsidiary, registered a growth of 6.2%, with sales of ZAR 1,375 Mn driven by sustained growth in key pharma segments, including Cardiovascular (CVS) and Central Nervous System (CNS), as well as the OTC franchise. Pharma Dynamics continues to comply with the government’s Broad-Based Black Economic Empowerment (BBBEE) policy that aims to increase the economic participation of the black population in the economy. In addition to providing us with the opportunity to engage with key stakeholders in the industry, our compliance gives us preferred status when compared to our non-compliant peers. In FY22, we have continued to work with the South African Health Products Regulatory Authority (SAHPRA) and we have received 21 product approvals. This year we introduced 18 new products as well as 3 line extensions to the South African market. Despite challenges, Pharma Dynamics remains the largest CVS company in South Arica with a value share of 14.8%. In unit terms, we currently have 19 products ranked as the top product in South Africa, and 24 products in the second position.
Outlook
As a result of the current macro-economic and geopolitical challenges, a major challenge for FY23 will be to stem the deterioration in prices and work with inflation. Our strong market position in key therapeutic areas will continue to drive growth in this region. The year FY23 is poised to be a significant one for Lupin’s European business, as we prepare to expand our respiratory franchise for Luforbec® metered dose inhaler (MDI) and focus on the continued expansion of NaMuscla®.
