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Chapter - Indian and Chinese economic reality in drug development:
As companies move their businesses to emerging markets, they stand the chance of enjoying reduced operational costs across the different aspects of clinical trials. Reduced cost is seen with professional fees, site fees, procedural fees, overhead or administrative fees.
However, as big pharma-industries reposition to capture these markets, the impact on the economy as a nation and the people of the country cannot be emphasized enough.
India s pharmaceutical market, according the associated chambers of commerce, was set to capture 1-2 billion global pharmaceutical capital market in 2010 (Clinical trial in India; Jankosky, Jiang & Farwell, 2007). As of 2003, the Indian pharmaceutical market supported 3% of global trial while in 2010 this figure climbed to 10% and expected to rise by another 5% in 2011 (Jankosky, Jiang & Farwell, 2007; Deepakmb,2011). From 2000 to 2004, only 60-170 registered trials were conducted in India while in 2011 that number rose to 1,850. This is a rise in excess of almost 11 times in one year (2011) compared to a 4 year period in the past (2000-2004) ( Jankosky, Jiang & Farwell, 2007; Clinical trial ethics in India: one step forward and two steps backwards).
Phase I/II and III studies in the US cost about 20/50 and 100 million dollars respectively in the United States. This cost is halved when the study is moved to India and as well 75 times faster in conducting the studies (Deepakmb, 2011). The cost of professionals, overhead, and procedure fees is about 50%, 20%, and 21% lower compared to the American market respectively.
As intriguing as this appears to pharmaceutical companies carrying out their trade in India, the Indian economy shares a large proportion of this interest across its sectors. It is estimated that India has the highest number of FDA accredited laboratories across the globe-an increasing impact of global clinical trial outsourcing (Jankosky, Jiang & Farwell, 2007).
It is also expected that these laboratories with their locations and the good road networking in India will support a greater number of these trial with attendant financial rewards. About 80 thousand hospitals in Indian are currently engaged in clinical trial. These hospitals would require infrastructural development either in kind or in cash from the sponsor pharmaceuticals which also contribute to access to quality care and economic revamping of such hospital in supporting service delivery. In addition, these facilities would require more trained professional in the clinical research field thus creating employment for a critical mass in the country. It was projected in 2011 that Indian will need about 50,000 clinical research professionals to meet the clinical trial boom in the country (Statistical Review of Clinical Research Industry). India s population stand at an advantage of lower drug pricing as the developed medicines enter the Indian market (Deepakmb, 2011). Furthermore, local capacity is built from constant interaction with international influx. The capacity building is seen with training of investigators and other clinical research professionals in ethics, as well as indigenous CRO. Finally, India is projected to begin clinical trial outsourcing between 2013 and 2015 (Statistical Review of Clinical Research Industry).
The Chinese market cannot be left out with over 800 million and 250 million uninsured and partially insured population respectively coupled with abundance of disease resource. The Chinese market was projected to be the 5th largest market in 2010 and would become the third largest in 2020 (Jankosky, Jiang & Farwell, 2007). Growth of clinical trial sprang from 4% in 2007 to 10% in 2010 (Jankosky, Jiang & Farwell, 2007).
China is second to India when its clinical trial growth rate is compared with Singapore, Pakistan, and Sri Lanka over 2002-2008 (Statistical Review of Clinical Research Industry). However, China has better prospe

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