India's pharma sector has seen remarkable growth in exports, with 99% target already being achieved before FY25, government data suggests. India's drug formulations business and surgicals business have been a booster dose to domestic pharmaceutical companies, witnessing a robust growth. "By October last year 99% of the target was achieved. By this speed we may exceed the target," said a senior pharma executive.
According to the data by Directorate General of Commercial Intelligence and Statistics (DGCIS), drug formulations and biologicals are the mainstay, making up a major portion of India's pharmaceutical exports accounting for 75% of the total and logging a 11% growth.
For bulk drugs there has been a volume growth but value has declined. "This is due to the drop in prices of API and intermediates by China," said another expert.
According to the data by Directorate General of Commercial Intelligence and Statistics (DGCIS), drug formulations and biologicals are the mainstay, making up a major portion of India's pharmaceutical exports accounting for 75% of the total and logging a 11% growth.
For bulk drugs there has been a volume growth but value has declined. "This is due to the drop in prices of API and intermediates by China," said another expert.
The data suggests that growth in Europe has been stagnant. "Primarily due to the Netherlands and Belgium....While exports in the UK have grown by 22%, Germany has seen a growth of 6% over last year in spite of recession," the pharma executive said.
He said a significant growth has been seen both in the US and Europe. "From $5.5 billion last year, Europe has already logged $3.2 billion.
These two major markets growing significantly is a potential Europe business from the current level of $5.5 billion last year this year from April to October' 2024.
As far as the Africa market is concerned, it saw exports worth $4 billion last year. Although it has degrown by 3%, experts say with political stability coming in, they expect a level playing field again and going forward it may cross $10 billion.
Experts say Russia could be a gamechanger. "There are significant shortages in Russia due to the war. It has a potential to grow by 15 % as nobody is willing to take consignments to Russia. Russia holds a huge potential," he said.
Source Name : Economic Times