China leads with five companies having revenues in excess of $1 billion. In fact, China’s No. 1 company, Sinopharm, which is also Asia’s No. 1 company for the second consecutive year in 2010 has grown by 48 percent and crossed the $10 billion revenue milestone. In addition to Sinopharm, other Chinese companies have also grown at a fast clip – North China Pharmaceutical (113 percent growth), Yunnan Baiyao Group (78 percent growth), and Shenzhen Neptunus Bioengineer grew by a remarkable 51 percent. This is a sampling of the boom that is happening in China.

Compared to this, India, the other fast growing market in the region, has just two billion dollar companies among the country’s Top 20 list, however, a bunch of stable growing companies make up the rest of the industry. Australia has three companies over a billion dollars. And among other regions, it is likely that a couple of South Korean companies may cross this milestone in 2011. China, India, Australia continue to remain the Top 3 countries in the region, closely followed by South Korea and the
others.

The global pharma players have already recognized the opportunities available in China’s fast growing pharmaceutical market. Sanofi-Aventis expanded its R&D presence in China by opening a new research center. Eli Lilly announced plans to launch 15 new products in China over the next five years. And Medtronics started its operation in China.

With an increase in investment and competition from multinationals, the local big pharma companies are preparing to face new challenges in the growing market. Consolidation is being adopted as one of the strategies by the local pharma companies to counter the competition from multinationals.