You’re Guide to a Successful PCD Pharma Franchise Company in West Bengal

East India pharma market share by state, 2020 West Bengal is a state of much cultural and commercial vigour and is gradually turning out to be one of the most profitable centres in Eastern India for the pharmaceutical trade. The Propaganda-Cum-Distribution (PCD) Pharma Franchise is an excellent chance for medical representatives, pharmaceutical experts, and entrepreneurs to start their own profitable company with minimal risk.

Scope of PCD Pharma Franchise Company in West Bengal: In this detailed guide, we will discuss the vast scope of the PCD Pharma Franchise business in West Bengal where we will also discuss the essential requirements and show you why the right business partner can make all the difference in the world getting to know success in this dynamic market.

WHY WEST BENGAL IS THE IDEAL PCD PHARMA HUB

Due to a combination of demographic, economic, and government policy factors, the road for West Bengal’s pharmaceutical wholesale business appears to be quite bright.

1. Large and Growing Population Base

West Bengal is one of the busiest states in India with its population touching the mark of 100 million. Urban and semi-urban localities like Kolkata, Howrah, Durgapur, Asansol, Siliguri have the high population density there which causes high and perennial demand for cheap medicines of good quality. A wholesale drug business can be established and maintained on the standard volume of sales for pharmaceuticals because of such a massive consumer base.

2. Expanding Healthcare Infrastructure

The state government has been relentlessly pursuing the path of building healthcare centres and it is visible that the numbers of private clinics, nursing centers and government hospitals have risen. Such expansion opens up the doctor and healthcare professional network (key prescribers under the PCD model) and this translates to more business for the franchise partners.

3. High Market Penetration Potential

While cities like Kolkata have saturated markets, tier-2 and tier-3 cities, along with rural belts in districts like Purulia, South 24 Parganas, Nadia, and Purba Medinipur, remain relatively untapped. The PCD model, promising monopoly rights in certain districts, enables franchisees to create a strong market presence in these high-potential areas by minimizing internal competition.

4. Favorable Economic Environment

The pharmaceutical sector in West Bengal has shown remarkable growth on numerous occasions, being one of the main contributors towards the GSDP. Government initiatives on tax exemptions and subsidy for industrial investments are also encouraging this industry as a lucrative business avenue for entrepreneurs.

The PCD Franchise Advantage: A Low-Risk Business Model

Basically, the PCD model stands for Propaganda-Cum-Distribution and is a fundamentally low-investment, high-return business. This is a favourable option for all those who want to enter the pharma distribution business without the additional burden of setting up manufacturing units.

• Monopoly Rights: The main advantage here is the granting of exclusive territorial rights. The franchisee gets sole distributing rights for the company’s products in a particular geographical area, thus eliminating competition from any other distributor dealing with the same brand.
• Low Initial Investment: The initial capital required to start a PCD franchise compared to a pharmaceutical company is way lesser, estimated at a conservative ₹30,000 to a more robust ₹1.5 lakh. In general, this covers the initial stock and essential operational costs.
• The Ready Product Portfolio: The franchise partner gets immediate access to a wide array of DCGI-approved, high-quality products such as tablets, capsules, syrups, injections, derma, ayurvedic, nutraceuticals, etc., from an ISO, WHO, GMP-certified manufacturing unit. This immediately instills prescriber confidence.
• In addition, marketing and promotional support: Well-established PCD companies extend ample marketing support in terms of visual aids, product samples, promotional literature, LBL/reminder cards, prescription pads, MR bags, and sometimes even digital marketing support. This cuts the franchisee’s marketing expenses drastically.

Following are the key requirements for starting your PCD franchise in West Bengal.

Some key documents and procedures that you need to know in order to open your PCD Pharma Franchise Company in West Bengal are as follows:

1. Legal and Regulatory Compliance (The Non-Negotiables)

• Wholesale Drug License: It is the essential document which is compulsory required under the Drugs and Cosmetics Act, 1940. It is a license from the state drug regulatory department and is mandatory to be obtained before trading to retailers, hospitals, and clinics.
• GST Registration: This is necessarily required for every supplier of goods and services in the country. It is imperative for compliance with the Indian taxation policy and to maintain hassle-free financial transactions.
• Business Registration: It gives your legal business identity as a Proprietorship Firm, Partnership Firm, or Private Limited Company.
• PAN Card and Identity Proofs: Required KYC documents for the proprietor or company directors.

2. Infrastructure and Investment

• Storage Facility (Godown): It should be a dedicated, clean, and wellmaintained storage space. For certain products (such as vaccines or injectables), there should be cold chain facility provision (refrigerator/deep freezer) with temperature control, which is absolutely necessary to conform to regulatory requirements.
• Initial Investment/Working Capital: Enough capital is required for the initial stock, drug license cost, and early operational expenses like rent and utility bills, etc.
• Qualified Person: The WDL mandates that a technically competent person, for example a registered pharmacist or a person possessing a minimum of four years of experience in drug dealing post matriculation be accessible by phone during business hours for consultation.

3. Market Knowledge Knowledge

• Local prescriber mix: What you needed to do for success was have a good knowledge of the therapeutic areas (such as orthopaedics, gynaecology, cardiology, general medicine) that were wanted in your particular place of business or place of operation (area, city) – e.g., Kolkata, Siliguri, Bardhaman.
• Distribution Network: If you already have relationships with local retailers, doctors and hospitals, or can build those relationships quickly, your business will grow faster.

Choosing the Right PCD Pharma Company

Your success will always be linked to the reputation and support of your parent company. While selecting the PCD Pharma Franchise Company in West Bengal, the following things are to be kept in mind:

• Certification and Quality: The company and manufacturing units should be ISO 9001:2015 and WHO-GMP accredited. Preferably, a company should have DCGI-approved Quality assurance is of prime importance.
• Product Range and Pipeline: A company having a huge and diverse product range, for instance, over 600 products across multiple segments, ensures that you can cater to a wider spectrum of doctors. Also, check their commitment to introducing new molecules (new product launches).
• Monopoly Policy: Check your franchise agreement for guaranteed, non-violable monopoly rights in your territory of choice.
• Promotional Support: Evaluate the quality and amount of the promotional tools they provide for visual aids and literature. Good marketing material is essential for sales representatives to conduct an effective presentation to doctors.
• Stock Availability and Timely Delivery: Besides, the company has to maintain stock and ensure rapid, reliable supply to your location to avoid business loss and uphold client trust.

Conclusion: Embark on Your Pharmaceutical Entrepreneurship Journey

The PCD Pharma Franchise Company in West Bengal presents a golden ticket to pharmaceutical professionals and aspiring entrepreneurs for securing a stable and highly profitable venture. The huge population of the state, along with government focus on healthcare, definitely assures high and sustained demand for medicines.