The Indian pharmaceutical industry plays a significant role globally. Its major segments include generic drugs, OTC medicines, bulk drugs, vaccines, contract research & manufacturing, biosimilars, and biologics. The country’s success in providing affordable HIV treatment has earned it global recognition as the ‘pharmacy of the world’.
20% market share in supply of generic medicines
60% share in supply of low-cost vaccines
70% contribution in WHO's DPT and BCG vaccine demand
90% contribution in measles vaccine demand
670+ US-FDA compliant plants – the highest outside US
3,000+ pharmaceutical companies
500 API manufacturers – 8% of global API industry
10,500+ manufacturing facilities with a highly skilled workforce
60,000 generic medicine brands across 60 categories
200+ countries import generic drugs from the Indian Pharma Market
100% FDI allowed for greenfield pharmaceuticals through automatic route
100% FDI allowed in brownfield pharmaceuticals
74% through automatic route, with further investment requiring government approval
The pharmaceutical supply chain in India has seen a profound transformation driven by globalization, technological progress, regulatory changes, and increased demand for healthcare products. This advantage empowers Indian firms in manufacturing of pharmaceutical products at competitive prices, both locally and internationally.
industry value in 2021
projected value by 2030
projected value by 2047
Among the top 10 sectors in attracting FDI
of the global pharmaceutical supply chain
of the global vaccine demand
contribution to UNESCO – largest in the world
of generic drugs supply to the US
Latest updates in the pharma industry have also seen heightened awareness regarding supply chain resilience, spurred by geopolitical tensions and the COVID-19 pandemic. This has led to a growing interest in the China+1 strategy, where companies aim to diversify their supply chains by investing in alternative manufacturing hubs such as India.
The Vision 2030 for the Indian Pharmaceutical Industry sets ambitious targets that include – reaching a market size of USD 120-130 billion by 2030 and enhancing its global market share to approximately 7.0% by 2030 from the current 3.61%. At large, the Indian pharmaceutical market aims to solidify its position as a key player in the global healthcare landscape.
Investors keen on exploring opportunities in the Indian Pharma Market can acquaint themselves with key policies and schemes governing the industry.
