Glimpse of PCD Pharma Companies in India Today

Pharma industry is one of the most flourishing and sought after industries in India ranking 3rd in the world in terms of volume and 14th in terms of value. The market is highly fragmented with more than 5,50,000 retail oulets. The number is significantly increasing every year. In terms of global market, the PCD pharma franchise industry in India holds around 1-2% share which is increasing at a fast rate of 10% every year.


The pharma industry has experienced a major paradigm shift in the past few years. The reason being the pharmaceutical firms in the past used to store the products in warehouses before distribution but in recent times, the Clearing and Forwarding agents (CFAs) have taken charge of the distribution. After the CFAs, the distribution passes on to the stockists who in turn make these products available to the pharmacies which eventually pass them to the consumers.

PCD pharma franchise


PCD pharma franchise in India operates under a gamut of policies which are mostly issued by the government and apply throughout the country. Some of these policies are:

Price Control- It contains the lists of the price controlled drugs, process of fixation of drug rates and penalties for contravention of the stipulated drug prices. These orders are meant to ensure that there is adequate supply of drugs and they are provided at a reasonable price. It also makes sure that the drug quality meets the required specifications, promotes rational use of drugs and strengthens the indigenous capability of drug production.

Intellectual Property Rights- It indicates the norms in respect to the following intellectual property rights:

  • Copyrights
  • Trademarks
  • Geographical indications
  • Protection of any undisclosed information about the product

Product Developments

Indian medicine franchise companies have started adapting to product development procedures and made their way in the international market by identifying the generic competitors to patent drugs and following up the necessary litigations to support the patent.

The pharmaceutical sector in India may be said to be uncertain and volatile but medicine franchise companies have risen up to the challenges put by measures like compulsory licensing, price controls and changing the FDI policy.

Tips to Choose the Best Pharma Companies for PCD Franchise Business in India

Starting a pharmaceuticals business is a great decision. The Indian pharma industry is growing by leaps and bounds. The best decision lies in choosing reputed PCD Pharma distributors. There are a number of factors which you need to consider before you choose any company for your future business opportunities. The better and renowned the pharma company is, the better will be your returns in future.

Here are some tips which will enable you to choose the best PCD Pharma Company for you:

    • Choose a company in accordance with the availability of particular products.
    • If the PCD pharma company is relatively known among the masses, it could be quite helpful in raising good demand.
    • You can seek views from people like clients, employees, etc. who have worked with them in order to know the details of the company personally.
    • The quality of the products should not be altered. The business is all about the sales of these products which will help you gain profits.
    • The packaging of products is also very important for preservation of quality of ingredients as well as for visual appeal of the products. So, you must have a look on the PCD Pharma companies’ products from this aspect.
    • The promotional material is very important for a PCD Pharma distributor’s business. You must check the range and quality of promotional inputs being provided by the PCD Pharma company.
    • All PCD Pharma companies in Chandigarh have their terms and conditions which can be partially / fully not in favour of you. Thus, shortlisting five to ten companies helps you choose better.
    • You should ask the rate and profit margin of the PCD Pharma companies in Chandigarh which is different from company to company. Higher is the profit margin, more profitable will be your business.
    • The company must have the required Government licenses as well as certifications like GMP, ISO, etc. You should always verify the certifications acquired by the pharma company as they mark the quality standards and regulations they have been following and serving.
    • Last but not the least, you can have a background check on the promoters as well as the management of the PCD pharma company.

Choose a PCD Company with Good Profile and Rich Marketing History

The concept of Propaganda Cum Distribution or PCD has proved to be quite successful for the Pharma Sector in India. This method of business provides many benefits to the agencies which go for the franchise system. However, it is also important that an agency must find the best PCD pharma companies for this business model.

While choosing a PCD pharma company, you must make sure that the company has a rich profile and a good marketing history as:

It is easy to introduce a company to a doctor: The reputation of the doctor is reliant on the medicines he prescribes. When the doctor evaluates any company, he gets the confidence that the company is doing good business for a long time and the quality of products is high.

Any New Product introduced in the market will be well accepted: Once the PCD pharma company gains the trust of the doctor, it is easy to introduce new products and ask for support without having to prove its quality every time.

Availability of Stock: A good pharma franchise company will understand that keeping more stock of medicines than required is important. The demand may fluctuate any time and doctors will not allow non-availability of the stock. An experienced PCD pharma company understands this need and will never go out of stock.

Rich Marketing Input: The marketing input quality and data which a reputed pharma franchise company in India will provide have a far better standard in comparison to a plain manufacturing company. This helps in creating a difference in the market and gain a good market share Adapt Advanced Technologies: Reputed PCD pharma companies understand and adapt suitable technologies which help in delivering better products as well as services to the customers.

Quality and Visual appeal of Packing: The proper packing is crucial for maintaining and preserving the ingredients of all Pharma products as well for visual appeal to the consumers. These standards are outlined in relevant Pharmacopoeias. The Pharma PCD Company must ensure that its products are packaged according to these standards. It should also make sure that it invests well enough to make its products presentable to end consumers.

Builds mutually rewarding relationships: The reputed Pharma Franchise companies know how to make a long-term relationship with the suppliers, pharmaceutical and healthcare communities as well as the field associates across the market. They always follow the highest ethical standards while conducting business.



Pharma Franchise involves monopoly rights which are given to franchisee by the pharmaceutical company. Pharma Franchise on monopoly basis is key to this business. Pharma Franchise business cannot be run effectively without monopoly rights. Monopoly rights give freedom to its franchisee to expand his business in the designated area, without the apprehensions of infiltration or interference by any co-franchisee. By signing few papers the PCD Pharma company and the franchisee mutually agree to support each other.

Pharma Franchise on monopoly basis
Pharma Franchise on monopoly basis

Steps in the Pharma franchise on monopoly basis business :

1. Manufacturing of Pharmaceutical Products: First of all, Pharma products are manufactured in Manufacturing Units which are certified with WHO-GMP, ISO 9001: 2008, ISO and / or 14001:2004 certificates. The sourcing of APIs and Expedients, manufacturing the products according to relevant guidelines (IP/ BP/ JP/ USP), QC and retention of samples during the life-time of that products are all responsibilities of the manufacturing plant. There are whole set of detailed guidelines which are followed for each of these steps.

2. Packaging of Pharmaceutical Products: After manufacturing comes Packaging. Packaging is important for protection, presentation and promotion of Pharmaceutical products. Type of packing depends upon the guidelines contained in the relevant Pharmacopeia(s) The examples of strip packaging for tablets are blister/ Alu-alu/ Poly-strip pack. If Packaging is presentable and attractive, then promotion can be done easily, which is also very important in Pharma Franchise business. Sometimes some compromise on packaging is done to make the products affordable (provided guidelines allow so) . But this compromise should be limited only to Packaging and not to manufacturing.

3. Ready products to PCD Pharma company : PCD Pharma company in Chandigarh takes its delivery from Manufacturing plants, which may or may not be owned by the same management. Manufacturing plant delivers finished products to Pharma franchise company/ PCD Pharma company and they store these products.

4. Distributors are appointed: PCD Pharma Franchise company gives Pharma Franchise of its products to its distributers on monopoly basis for allotted areas. Distributors give requisition of Pharma Products to the Pharma Franchise company and it delivers the products to distributors.

5. Distributors appoint MRs : Distributors further appoint MRs to reach medical practitioners of their area. Here MRs role is very important as prescription generation depends upon his work only. And this whole business depends on prescription generation.

6. Prescription is done: Then medical practitioner prescribes medicines to patients. Here quality of products matters a lot. If patient and the medical practitioners is happy with the medicine’s result, then only the medical practitioners will continue to prescribe that medicine.

7. Medicine is made available at Retail chemist shops : Then it is the major responsibility of Distributors to make the medicine available in medical stores.

Better the efficacy, bigger the Pharma Franchise business

So we can conclude that success of Pharma Franchise business depends on many factors. But product’s efficacy and work of MR are key factors.