RE:RE:RE:RE:Inflation Reduction Act (IRA) boosts biological drugs The rising prominance of the IRA and the shift towards biologic drug therapies (biopharmaceuticals) over the last few years, are two key trends that will have a lasting impact on the small molecule segment :
China + 1 strategy: India is currently the second largest CDMO player globally, after China, for small molecules. India’s market significance has grown markedly over the last three years, driven by Big Pharma’s movement away from China due to supply chain disruptions, global trade risks, and China’s prioritization of domestic markets.
Notwithstanding the presence of a higher number of US FDA-approved manufacturing plants in India compared to China, fewer FDA warnings for Indian manufacturing compared to Chinese counterparts, and the availability of a robust Indian workforce, the shift of the innovative biopharmaceutical sector to the United States will be without precedent.
Furthermore, the US FDA introduction of the accelerated drug approval programs for critical drugs, therapies, and vaccines after the success of the Covid-19 vaccine development, has resulted in quicker time to market for companies. This is expected to set a precedent for accelerated approval processes in other markets, benefiting vaccine and biotech players.
That being stated, it goes without saying that ONCY is on the front of these key trends and developments.