The Indian pharmaceutical industry is going through a stage of transformation and to take advantage of the immense opportunities that have opened up globally, industry players are organizing themselves . The industry outlook remains strong as the sector is expected to witness impressive growth in the coming years. DEMOGRAPHIC RELATED FACTOR Increasing per capita income coupled with population growth and increased health awareness are a few factors that will drive the demand for pharmaceutical products. the industry at the national level. Population growth and improved life expectancy are some of the demographic factors that will boost domestic demand. India's population is expected to reach 14.11 billion by 2026, according to the Economic Survey of 2005-06. In 2026, 68% of the total population will probably be made up of the 15 to 65 age group, compared to 61% in 2001. NEW PRODUCT LAUNCHES Multinational companies have shown renewed interest in launching certain successful products in India. , after the introduction of product patent laws in India. Also in the future, this trend is expected to continue. Contract manufacturing and licensing opportunities will increase for Indian players, including small and medium enterprises, due to the launch of new molecules by multinationals. Skills in formulation and chemical synthesis have been acquired by SMEs. Contract manufacturing gives them a secure position against margin fluctuations.RISING INVESTMENT IN R&DSustainable growth will prevail due to current investments in R&D, given the long gestation period from discovery of molecules to approval final marketing. Indian players have developed important molecules which have already reached...... middle of article ...... drugs headed due to rising input costs and the increase in average price is attributed to the rise in prices of uncontrolled medicines. Recent trends show impressive growth in the over-the-counter (OTC) drug segment and most OTC drugs escape price control. Therefore, the business mix between domestic and export business along with the range of prescription and over-the-counter pharmaceutical products is the key to profitability for players in general, and for SMEs in particular. The industry is set to grow in the medium to long term through better R&D capabilities and increased exports to a high-value, high-growth market, despite concerns over pricing and huge R&D investments driving blocking funds and causing short-term obstacles. (Source: https://www.dnb.co.in/) REFERENCE: http://www.dnb.co.in/pharmaceutical/future%20outlook.asp