Pharma Companies eye fast growing Nicotine Replacement Therapy Segment

New Delhi - Pharma majors including Elder, Sun, Pfizer, Cipla and GSK are setiing their eyes on onto the fast growing Rs 720 crore market for smoking cessation products or nicotine replacement therapy (NRT) products in the country.

World wide NRT is used for cessation of cancer-causing habit of tobacco chewing (esp. gutkha) and tobacco smoking (cigarettes and bidis). NRTs are engineered to work on the brain and the nervous system to curb nicotine dependence. NRT supplies controlled levels of nicotine that allow one to gradually reduce intake of tobacco.

Presently smoking cessation products come in a variety of delivery modes like transdermal patches, chewing gums, inhalers, nasal sprays and lozenges. Leading companies in India in this segment are Elder , Sun Pharmaceuticals, Pfizer, Cipla and GSK.

Recently Elder Pharmaceuticals Ltd has entered into an exclusive manufacturing tie-up with M/s Gelnova Laboratories of Navi Mumbai to introduce for the first time in world NRT products in pastille form. Pastilles are hard jelly like preparation in cube shape which is a mixture of glycerin and gelatin to which medicament is added. Pastilles release active substance in a finely distributed way that gets absorbed directly into the bloodstream.

Launched on World No Tobacco Day (31st May 2010) under the brand name of Elder NRT, the product is a joint collaborative effort of Elder Pharma's R & D division and Gelnova.

According to Mr Alok Saxena ,Director, Elder Pharmaceuticals Ltd "The acceptance of NRT products growing - slowly but steadily - in India. NRT is currently being promoted through medical practitioners, chest physicians and dentists .Elder has launched NRT Pastilles, with state-of-the art, patented technology in three strengths viz. NRT -1mg, NRT - 2mg and NRT- 4 mg. NRT Pastilles come in two flavors - Mint flavor for Tobacco smoker and Pan Masala flavor for Tobacco chewer.

NRT Pastilles are distinctly superior to conventional products as the primary material for pastilles comes from natural sources and use no preservatives and are sugar-free. NRT is also suited for persons on move as NRT Pastilles do not need water to be taken simultaneously. NRT Pastilles retain the flavor for longer time than conventional products. It takes around 30-40 minutes for the pastille to dissolve totally in the mouth.

Globally, US $ 1.6 billion worth of smoking cessation products were prescribed during 2009. Apprx. 6 million people die each year worldwide because of smoking and tobacco related diseases, according to the World Health Organization. One billion men and about 250 million women use tobacco every day around the world. In India, tobacco use causes nearly 40 percent of all health problems and 50 percent of all cancers. Nearly 17 percent of students in India, aged 15 and under, use some form of tobacco, mainly cigarettes, according to a survey conducted by the World Health Organization.

Adds Saxena, "We estimate the market size for NRT products to be about Rs 720 crore of which the prescription based segment should be worth about Rs 200 crore and the balance comprising of non-prescription, OTC (Over the Counter) products which are also sold through unorganized sales channels like paan shops etc."

Source : Equity Bulls

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