INTRODUCTION

GATT was created in 1947.

The purpose was to facilitate international bargaining and to reduce barriers to trade.

WTO replaced GATT on January 1 1995.

The purpose was to facilitate smooth and hassle free trade.

Benefits of WTO

• The system helps promote peace.

• Rules make life easier for all.• Disputes are handled constructively.• Free trade cuts the cost of living.

• It provides more choice of product and quality

• Trade raises income.• Trade stimulate economic growth.• The basic principle make life more.

efficient.

Agriculture Sector

THE IMPACT OF WTO ON INDIAN AGRICULTURE

• Farmers Subjected To WTO• Protectism• WTO Uniform Rules• Liberalization Of World Trade• High Tariff Rate • Developing Country Effect Developing

Country • Biotechnological Advancement

IMPACT ON TEXTILE India a part of Multi-Fibre Agreement (MFA). Contributes to 4% of national GDP and 20% of

manufacturing value added. Provides employment to 6.5 million persons

directly or indirectly. Quota phase out – Opportunity as well as

threat. Contributes to almost 35% of foreign

exchange earnings.

Major reform under WTO in 2005 resulted :

A gain to world of around $23 billion, including

$12.3 billion for the US, $0.8 billion for Canada, $2.2 billion for Europe and around

$8 billion for developing countries.

IMPACT OF WTO ON SSI UNITS

IMPORTANCE OF SMALL SCALE INDUSTRIES

IMPACT ON SSI FUTURE AGENDA

Pharmaceutical industry in India

Introduction

• 15th largest individual market

• Drug sales of $5.2 billion

• 24000 players

Top 10 Pharmaceuticals in India, 2004

Rank Company Revenue 2004 (Rs crore)

Revenue 2004 (USD millions)

1 Ranbaxy Laboratories 4,461 1,026

2 Dr. Reddy's Laboratories 1,933 444

3 Cipla 1,842 423

4 Nicolas Piramal India 1,387 319

5 Aurobindo Pharma 1,260 290

6 GlaxoSmithKline 1,228 282

7 Lupin Laboratories 1,180 271

8 Sun Pharmaceutical Industries1,110 255

9 Cadila Healthcare 1,091 251

10 Wockhardt 980 225

USD 1 = Rs 43.5Source: Pharmaceutical Sales Busters, India Business Insight, 31-Dec-04

Main Features of Pharma Industry in India

One of the two fast growing knowledge based industries in India (the other: IT).

330 large and about 5000 small scale units. They produce over 400bulk drugs and the

complete range of formulations. One of the main world leaders in Bulk drugs.

Meeting 80% domestic demand for bulk drugs along with sizeable exports.

Pharma industry in India growing at a rate of 15% per annum .

15th in terms of value but 4th in terms of volume.

Bulk Drugs

One of the World leaders. Over 400 basic drugs produced. To name some: Aspirin, Ibuprofen, Ampicillin, Paracetamol,

Amoxicillin, Cephalexin, Cloxacillin, Erythromycin, Rifampacin, Ciprofloxacin, Chloroquine, Ethambutol, Metronidezole, Prednisolone, various Vitamins, Ranitidine, Omiprazole, Celecoxib, Reficoxib, Simvastatin, etc

World class Quality. Many items approved by US FDA, FDAs of UK, Brazil, Germany, Australia etc.

Over 100 manufacturers approved by WHO for GMP. Most competitive prices. Exported to over 70 countries.

Formulation Entire domestic demand for formulation met

with substantial surplus for exports. Many companies registered in different

countries such as USA, UK, Germany, France, Brazil, China, etc.

Actually exporting to all these countries. Many product separately registered in

countries. Where product registration is in force.

Exports of formulation growing @ 15%- 20%

History

Bengal Chemical And Pharmaceutical Works

How WTO/TRIPS impact the Pharma Industry

• Prohibitive cost

• US interventions

• World Bank Subsidies

TRIPS

• What are IPR?

• How does Trips work?

• Country comply

• Benefits

• Trips II commitment.

Liquor companies

•Indian liquor companies are anxious.

•UB group controls 25 percent of liquor companies.

•If import duties get removed than indian market will be flooded by second hand multi-national liquor firms.

THANKS

• Thanks for your attention