New Delhi, Dec 11 : Indian pharmaceutical companies, which benefited from sector tailwinds such as stable generic pricing and shortage-led opportunities and stable costs of raw materials in the past 18-24 months, will make further progress in differentiated and complex generics in the US market in 2025, a report showed on Wednesday.

According to a note by HSBC Global Research, these tailwinds are projected to continue in 2025 as well given that 'we don't see major changes on the demand-supply dynamics.'

'In 2025, we assume Indian companies will make further progress in differentiated/complex generics (peptides, inhalers) in the US with the potential launches of gAbraxane, gAdvair inhaler and peptides, etc,' according to the note.

Progress in complex generics and biosimilars will likely remain in focus as they will be crucial in navigating gRevlimid fall and sustain growth.

Amid the tailwind of steady generic pricing, 'we believe the execution of key launches (gAbraxane for Cipla) will determine the course of the US sales in 2025.'

According to HSBC, Indian companies will start their journey in GLP-1 drugs with the launch of generic liraglutide (though generics for new-gen GLP-1 drugs are distant in the US).

'We assume the Indian pharma market (IPM) continues to grow by high-single digits, led by price increase and new launches,' it added.

In other markets too (India and emerging market), companies continue to focus on differentiated opportunities such as OTC products, biosimilars and patented products.

For India's formulations business, the global research firm assumed that the broader Indian pharma market (IPM) grows at a high single digit range.

'The growth contributions from price hikes (4-6 per cent) and new launches (2-3 per cent) should remain steady. We assume contribution from volume growth to largely stay in the low single digit range,' said HSBC.

Earlier this month, the Union government approved a financial outlay of Rs 15,000 crore for the Production Linked Incentive (PLI) scheme for pharmaceuticals, aimed at boosting domestic manufacturing.

/IANS