While India’s overall exports dipped 3% last year, the pharmaceutical industry bucked the trend with a remarkable 9.7% increase! This translates to a total value of $27.9 billion for the 2023-24 fiscal year. The positive momentum continued in March, with pharma exports surging another 12.7% to reach $2.8 billion.
US Leads the Way, New Markets Emerge
The United States remains the top destination for Indian pharmaceuticals, accounting for over 31% of total exports. The UK is another key market. Interestingly, Indian pharma companies are venturing into new territories. Countries like South Sudan, Montenegro, Sweden, and Ethiopia are seeing an influx of Indian medications for the first time.
Experts Predict Booming Future
Industry experts are optimistic about the future of Indian pharmaceuticals, citing a surge in global market opportunities and sustained demand, particularly from the US. They even predict a potential boom, with the industry reaching a staggering $130 billion in value in the coming years! Notably, India currently averages a healthy $2-3 billion in monthly pharmaceutical exports.
Government Support for Domestic Production
The Indian government is actively promoting domestic manufacturing of key pharmaceutical ingredients and generic medicines by implementing two production-linked incentive schemes. This initiative strengthens India’s position as a global pharmaceutical powerhouse. Already, India boasts the world’s 3rd largest pharmaceutical industry by volume and 13th largest by value, producing over 60,000 generic drugs across various categories.
