Pharmaceuticals

The Indian pharmaceutical industry ranks third globally in pharmaceutical production by volume and is known for its generic medicines and low-cost vaccines.

Last updated: September 15, 2023

Third largest pharmaceuticals industry in the world by volume with a current evaluation of US$41bn.

3.3%

Total FDI inflows

$23.5 Bn

Export of Pharmaceuticals (FY 21-22)

$21.22 Bn

FDI (Apr 2021-Dec 2022)

$130 Bn

valuation of pharmaceutical industry by 2030

+500

different Active Pharmaceutical Ingredients (APIs) manufactured in India.

60,000

generic brands across 60 therapeutic categories are sourced from India.

~60%

global vaccine demand

Largest

US-FDA, WHO-GMP, EDQM, MHRA compliant pharma base outside the US.

50%

Share of Indian pharmaceutical sector for various vaccines

100%

FDI is allowed under the automatic route for greenfield pharma projects.

Cabinet approves PLI Scheme to 10 key Sectors for Enhancing India’s Manufacturing Capabilities and Enhancing Exports

The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi has given its approval to introduce the Production-Linked Incentive (PLI) Scheme in 10 key sectors for Enhancing India’s Manufacturing Capabilities and Enhancing Exports

National Health Policy

The policy recognizes the pivotal importance of Sustainable Development Goals (SDGs).

Uniform Code of Pharmaceuticals Marketing Practices

This is a voluntary code of marketing practices for the Indian pharmaceutical industry.
Pharmaceutical Promotion Development Scheme

The objective of Pharmaceutical Promotion Development Scheme (PPDS) is promotion, development and export promotion in pharmaceutical sector.
National Policy on Indian Systems of Medicine & Homoeopathy

Complementary and Alternative Medicine or Traditional Medicine is rapidly growing worldwide.

Central Drugs Standard Control

In India import, manufacturing, sale and distribution of drug is regulated under Drugs and Cosmetics Act 1940 and Drugs and Cosmetic Rules 1945 (hereinafter refer as Act) made therein.

Cluster Development Programme for Pharma Sector

The vision of the Department of Pharmaceutical (DoP), Ministry of Chemicals & Fertilizers, Government of India is to catalyze and encourage quality, productivity and innovation in pharmaceutical sector and to enable the Indian pharmaceutical industry to play a leading role in a competitive global market.

Implementation of Scheme for Schedule M Compliance for SSI Pharma Units

As a number of Pharma SSI units are not well conversant with the technical requirements of the compliance regulators in terms of physical implementation processes, capacity building with the help of NIPER will be done.

National Pharmaceutical Pricing Policy

The policy aims to boost business and investment in the Pharma sector.

Scheme for Promotion of Medical Device Parks

The Union Cabinet on March 20 approved the Promotion of Medical Device Parks scheme to build infrastructure facilities in four medical device parks with a budget allocation of US$52.6mn.
Promotion of Bulk Drug Parks scheme

Increasing the competitiveness, easy access to standard testing and infrastructure facilities and value addition in the domestic Bulk Drug Industry through creation of common world class facilities.
PLI Scheme for Promotion of Domestic Manufacturing

A Production Linked Incentives has been announced for the sector with focus on Key Starting Materials (KSMs)/ Drug Intermediates(DIs) and Active Pharmaceutical Ingredients (APIs).
PLIs announced as part of Aatmanirbhar Bharat 3.0

Production Linked Incentives for ten sectors have been announced as part of the Aatmanirbhar Bharat 3,0 stimulus package.
Revised PLIs for domestic production of bulk drugs and manufacturing of medical devices

Issued on October 29, 2020.

Cabinet approves Production Linked Incentive Scheme for Pharmaceuticals

The Union Cabinet, chaired by the Prime Minister, Shri Narendra Modi has approved PLI Scheme for Pharmaceuticals which is expected to bring in investment of US$ 2.04bn in the pharmaceutical sector.

Indian Drug Manufacturers’ Association

+91-22-2494 4624 / 2497 4308

Visit Website

IDMA members’ Indian market share is about 75% in formulations and about 85% in APIs.

Pharmaceutical Export Promotion Council

+91-11-23324930

Visit Website

Pharmexcil is the authorized agency of the government of India for promotion of pharmaceutical exports.

Federation of Pharma Entrepreneurs

+91-11-46541400

Visit Website

FOPE was started with an objective to take up the common issues affecting the pharma industry at the national level.

Department of Pharmaceuticals

Investment Opportunities

  • Roll out of Ayushman Bharat programme has opened up new opportunities.
  • Pharmaceuticals, nutraceuticals and biotechnology manufacturing capacity.
  • Research and development of medicament formulations for global clients.
  • Alliances with generic companies for development of drug molecules.
Useful Links:

Key Investors

India has a well-oiled enterprise promoting machinery that is backed by strong legislative, judiciary, executive and capital establishments

Teva Pharmaceuticals - largest generic drug manufacturer in the world

Nipro Corporation - medical equipment manufacturing company

Procter & Gamble Pharmaceuticals - Prescription and over-the-counter drugs

Pfizer - research-based, global biopharmaceutical company, which engages in the manufacture of vaccines and injectable biologic medicine

Novartis - global healthcare company

Glaxo SmithKline - pharmaceutical company

Johnson & Johnson - pharmaceutical and consumer wellness company

Otsuka Pharmaceutical - holistic healthcare company

AstraZeneca - global, science-led biopharmaceutical business

ENABLING ENVIRONMENT

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News

Indian pharma industry’s revenue to grow by 8-10% in FY24
September 8, 2023

The Indian pharmaceutical industry is poised to achieve revenue growth …

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Pharma exports up by 138% in April-Oct FY23 from FY14
November 25, 2022

India’s pharma exports have increased by 138% to INR 90,324.23 …

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India’s bio-economy grows to US$ 80 billion in eight years: PM
June 10, 2022

India’s ‘bio economy’ has grown eight times in the last …

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