1.Sandoz is a generic brand of Novartis Group. Because generic drugs have no patent protection and the production cost is relatively low, the price is relatively cheap.
2. Sandoz has a raw material drug production base and a generic drug technology system in India, making use of local natural resources and policy advantages to reduce the cost of raw materials and generic drugs.
3. The US Food and Drug Administration has approved 28 import licenses for more than 30 APIs, which means that there are still 4 APIs that have not been approved, so the opportunity cost for China to apply for import is relatively low.
4. Most raw materials in India are alkaloids, and its unique natural resources can synthesize alkaloids with the same pharmacological effects which are completely different from those in China.
In a word, Sandoz is cheap mainly because its production cost is relatively low, and Indian and China's policy advantages in raw materials and generic drugs also bring Sandoz more price advantages.