India has the potential to enhance its position in the global pharmaceutical sector by shifting from volume-based exports to high-value products like biosimilars and speciality drugs, as highlighted by Dr. Manoranjan Sharma, Chief Economist at Infomerics Ratings. Currently, India holds a significant share in the global generics market, constituting about 20% of generic medicine exports worldwide by volume.
Dr. Sharma emphasized the necessity for India to transition towards value-driven exports and invest more in innovation to sustain the growth of the pharmaceutical industry. He recommended increased focus on research and development, complex generics, digital manufacturing, and export infrastructure to achieve this transition.
To further strengthen its foothold in the pharmaceutical value chain, India should explore opportunities in biosimilars, speciality drugs, cell and gene therapies, and novel drug delivery systems, according to Dr. Sharma. He also praised the government’s Production Linked Incentive (PLI) scheme for its positive impact on the industry.
In addition, Dr. Sharma advocated for reducing reliance on imported active pharmaceutical ingredients (APIs) and enhancing domestic manufacturing capabilities. He proposed strategies such as diversification of sourcing, development of fermentation-based APIs, and fostering public-private partnerships to bolster the sector’s growth.
Furthermore, Dr. Sharma highlighted the importance of lowering logistics costs, ensuring stable policy frameworks, and expanding manufacturing ecosystems to create globally competitive industrial clusters across various sectors. Despite global uncertainties, India’s exports have shown resilience, reaching approximately $865 billion in FY25, with free trade agreements opening up new avenues for Indian exporters, including pharmaceutical companies.
Dr. Sharma emphasized the significance of maintaining a focus on innovation, quality standards, intellectual property protection, and ease of doing business to unlock the next phase of growth for India’s pharmaceutical industry.
