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Dr Hasit Joshipura, Chairman, GlaxoSmithKline Pharmaceuticals.

P.T.Jyothi Datta

Mumbai, Nov 9 In scale, size and the range of therapeutic areas covered, it is a different road that lies ahead for Dr Hasit Joshipura, GlaxoSmithKline Pharmaceuticals’ 10-month-old chief in India.

From a focused view of chronic therapy areas, when he was President and Executive Director–Pharmaceuticals with Johnson & Johnson, he is now faced with GSK’s wide spread from vaccines to cough and cold, pain products, antibiotics and so on. Change it seems is in the air at GSK.

Come May, there will be a new head at GSK Plc in London too, with the multinational set to have its youngest CEO in Mr Andrew Witty.

According to Dr Joshipura, GSK’s Vice-President (South Asia) and Managing Director (India), as he charts the course for GSK’s over Rs 1,500 crore business in India, the company will continue to do some things differently, because the market dynamics demand it.

“GSK is the first innovator company to adopt an India-specific business model, not now but 25-30 years ago,” he said , adding that the strategy is both recognised and supported by the parent company. In-licensing for example, where GSK ties-up with another company to sell its drug in India, is a strategy unique to India. GSK has eight such tie-ups and is looking to forge another two before this year runs out.

GSK India has completed a routine review of its challenges, evaluating whether it has the right set of strengths in customer segments, to market products and in the way it structures its teams to be able to exploit opportunities, he said. For instance, GSK has mass-market strengths, but, what about the growing chronic therapy areas?

“Do we need a different set of skills to succeed in those? Do we need different team constitution? Do we need different kind of people?”

The company is implementing on a pilot scale some findings of the review. No products have been identified by the review to be axed, he indicated, though the company would not shy away from shedding products, if required.

GSK’s growth in India has been driven by about 35 priority brands and this would largely continue, even as it introduces patented products, he said. And there are a slew of products that GSK plans to bring into India next year, including breast-cancer drug Tykerb, it’s six-in-one vaccine Infanrix hexa and the rotavirus vaccine for gastroenteritis.

The cervical cancer vaccine, though, is slated for 2009. Vaccines are a Rs 100-crore-plus business for GSK in India. But price-control has been a concern for the company, as is the rest of the industry. About 30 per cent of GSK’s products fall under the Government’s price-control.

“Our models so far, where ever possible, have been India-specific and to that extent the accessibility of our drugs is pretty wide.” Going forward, GSK will continue to pursue India-specific models, wherever possible. “It may not always be possible. Where the scale and size of the therapeutic area is not large enough and you don’t have economies of scale in manufacturing, you may not be able to make it.”

“The India story has got traction world-wide. The patent law has been changed and there are a number of pharma companies who want to come to India or want to re-enter India if they are not there. And in that regard it puts us at an advantage to be a partner of choice for in-licensing opportunities,” he said.

But did India not lose some of its sheen, when Novartis’ cancer drug Glivec was drawn through much controversy over patent and pricing issues? “I don’t think any specific event will shape events about the IP (intellectual property) regime in India. It is going to be each company’s experience on a number of issues, data exclusivity, their own patent applications and how they are dealt with which will shape perceptions,” he said. So GSK’s perceptions have not changed? “Certainly not,” he said.

More Stories on : Pharmaceuticals | Outlook | Glaxosmithkline Pharmaceuticals Ltd

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