Published By : 07 Nov 2017 | Published By : QYRESEARCH
E-pharmacy startups in India have been experiencing a current of excitement over the past few months after the Indian government has issued the Draft of the Drugs Rules (Sale and Distribution), 2017, targeting at eliminating the ambiguity in rules and regulations to facilitate the online sales of drugs. E-pharmacies had been apprehensive of aggressive marketing and expansion activities on account of the absence of a regulator. After this, they are now busy sketching their growth strategies for the next couple of years.
Prashant Tandon, the co-founder of 1 mg, an online pharmacy and the head of the Online Pharmacy Association, India, stated that the regulation will provide them a levelled playing turf where the terms and conditions are alike for both, offline and online players. Apart from regulating the space, the rule also clears the worries of both, customers and investors. As per the draft, which was introduced in March, 2017, no individual or company can operate an E-pharmacy without being registered with Central Licensing Authority. The supply of drugs by E-pharmacies will also be regulated. “A number of online vendors have been facing constant harassment in the hands of drug safety officers on account of the absence of a regulatory framework, which can be taken care of now” he added.
According to Traxcn, a startup tracker, currently 282 E-pharmacy startups are operating in India, including the likes of Netmeds, Pharmeasy, 1mg, Medlife, and Myrameds. Of these 282 participants, 20 enterprises have raised funds and the overall money raised by this industry till now is US$165 mn.