Blogs >> Entrepreneurship >>
Indian herbal industry set to flourish
Good times are here again for the Indian herbal industry.
As per study commissioned by the Associated Chamber of Commerce and
Industry (ASSOCHAM), the Indian herbal industry is projected to double
to Rs.15,000 crore by 2015, from the current 7,500 core business.
The industry seems to growing handsomely, thanks to the popularity of ‘Made-in-India’ herbal products and surge in medicinal treatment across the world. The growth witnessed by the sector will only help SMEs witness a major jump in their revenue base.
The side effects of allopathic medicines and the growing awareness about the medicinal benefits of herbal products are accelerating the demand for dietary supplements and herbal-based beauty aids world-wide. This in turn is leading to the growth of Indian SMEs in the sector as well.
However, the growing demand will have to be backed by quality drugs, adherence to global standardization processes and setting up high R&D base to make their presence felt in the global platform.
Further, increase in cultivation of herbal plants and putting in place a complete network covering technical, institutional and industry link will also help in advancing the development of Indian SME herbal drug manufacturers and suppliers.
As per the study, the Indian market can be divided into two categories. One that covers raw material needed by the industries and direct consumption for household remedies, while second category that comprises ready to use finished medicines, health supplements etc.
The study reveals that there is a growing demand for raw stock which primarily comprises Amla, Isabgol, Senna, Henna, Ashwagandha, Aloe-vera and Myrobalans (Hartaki), which comprises over 75 percent of the raw materials employed in Ayurvedic medicines.
The ASSOCHAM study, however, is of the view that India’s contribution to the world herbal market is very low vis-à-vis the rich resource of medicinal plants and wealth of knowledge in this area.
The study has suggested that India should be more export oriented to achieve the targeted growth and market share.
The study also revealed that Indian herbal products are more popular among the Indian Diaspora; however, a need is being felt to make them popular among the locals in foreign lands.
Markets Present Demand Targeted demand for 2015
Europe US$ 35 million US$ 70 billion
North America US$ 6.5 billion US$ 25 billion
China US$4.0 billion US$ 12 billion
India US$1.5 billion US$ 3 billion
Others US$ 13 Billion US$ 30 billion
Total US $ 60 Billion US$140 billion
The industry seems to growing handsomely, thanks to the popularity of ‘Made-in-India’ herbal products and surge in medicinal treatment across the world. The growth witnessed by the sector will only help SMEs witness a major jump in their revenue base.
The side effects of allopathic medicines and the growing awareness about the medicinal benefits of herbal products are accelerating the demand for dietary supplements and herbal-based beauty aids world-wide. This in turn is leading to the growth of Indian SMEs in the sector as well.
However, the growing demand will have to be backed by quality drugs, adherence to global standardization processes and setting up high R&D base to make their presence felt in the global platform.
Further, increase in cultivation of herbal plants and putting in place a complete network covering technical, institutional and industry link will also help in advancing the development of Indian SME herbal drug manufacturers and suppliers.
As per the study, the Indian market can be divided into two categories. One that covers raw material needed by the industries and direct consumption for household remedies, while second category that comprises ready to use finished medicines, health supplements etc.
The study reveals that there is a growing demand for raw stock which primarily comprises Amla, Isabgol, Senna, Henna, Ashwagandha, Aloe-vera and Myrobalans (Hartaki), which comprises over 75 percent of the raw materials employed in Ayurvedic medicines.
The ASSOCHAM study, however, is of the view that India’s contribution to the world herbal market is very low vis-à-vis the rich resource of medicinal plants and wealth of knowledge in this area.
The study has suggested that India should be more export oriented to achieve the targeted growth and market share.
The study also revealed that Indian herbal products are more popular among the Indian Diaspora; however, a need is being felt to make them popular among the locals in foreign lands.
Markets Present Demand Targeted demand for 2015
Europe US$ 35 million US$ 70 billion
North America US$ 6.5 billion US$ 25 billion
China US$4.0 billion US$ 12 billion
India US$1.5 billion US$ 3 billion
Others US$ 13 Billion US$ 30 billion
Total US $ 60 Billion US$140 billion
|
|
