The company's products range from branded finished formulations to biotechnology to diagnostics. The group particularly focuses on basic research on diabetes, cancer, infection and pain management at Dr Reddy's Research Foundation. The foundation has filed a total of 44 patents, and has already procured 12 patents in diabetes and two in cancer. Dr Reddy's is also the first Indian pharmaceutical major to out-license a molecule to a foreign major. Excerpts from an interview with Rajiv Tikoo:

How does it feel becoming a big pharmaceutical player in such a short run?
It's a great feeling, but not because of the sheer size of our company. It's great because it will help us propel our research further.

Did you take over American Remedies because being basic research driven was getting risky?
That question doesn't arise at this stage. We have the capacity to go on smoothly.

Will your dilute your thrust on basic research now?
Our thrust will not change from basic research. I'm myself looking after the Dr Reddy's Research Foundation (DRF), which was founded in 1993 as an independent research body to undertake basic research in the pharmaceutical sector. It has discovered three new molecules and more are in the pipeline.

Why is India as a country lagging behind on research?
Indian companies don't feel the necessity. When a feast is available, why cook?

But then what prompted you to focus on research?
I knew that the feast would come to an end one day. So I wanted to be a leader in creating new drugs.

What is the status of biotechnology research in India?
No worthwhile biotech research is being done in India. That's why we have set up a satellite research centre in the US? The lab will conduct drug discovery using molecular/genomic and proteonomic approaches for next generation drugs.

But why in the US?
I didn't go to the US out of fashion. I went because it was necessary for my survival. I couldn't get talent for biotech research in India. I wanted to be a leader again. I didn't want to be an also-ran.

Research calls for lots of money and lots of time. What is it that drives you to undertake something that might not work out in the end?
It's the early success that we got that propels me. But then others too could have been successful. If I had not been successful earlier on, I don't know what would have happened.

How do you foresee the future of the drug industry?
Drug industries can grow in India faster than anywhere else because of the sheer number of patients here. We can't be proud of this, but that's a fact.

What are the areas that offer more potential?
It's in diseases of ageing-Alzheimer's, etc. And also cardio-vascular diseases, etc.

How can the government help?
Drug price control is a great irritant. The drug policy should be changed gradually, but not abruptly. Otherwise it can do more damage than good. We are the only people left behind in an era of liberalisation.

You are said to be in favour of an IPR regime?
We have to face it. We can't go on doing only analoguing forever.

But it's said that the drug prices will increase in such a situation?
Of course, drug prices will go up. We have to discover drugs ourselves to sell them at cheaper rates in India.

Why did you set up Dr Reddy's Foundation for Human & Social Development?
I hate poverty. I thought we should do as much as we could to eliminate poverty, which can be achieved through empowering people economically.

What gives you the most satisfaction?
What gives me satisfaction is the thrill of seeing the product out in the market. And the pride I get in being responsible for somehow healing people.

Isn't it pompous for a modest man like you to name your company after your own name? Why did you do that?
I was confident that I could build a great organisation. I was sure I wouldn't fail. And today the company name adds to my name and my name adds to the company name.