By Anjali Sharma
NEW YORK –The report by the Bain & Company in collaboration with Indian pharmaceutical bodies said on Sunday that the exports of India’s pharmaceutical industry are projected to reach $350 billion by 2047.
The report noted this is an estimated 10-15 times increase from the current levels.
India currently ranks 11th in pharmaceutical export value, can secure a position among the top five nations by 2047, it said.
The country’s pharma exports are expected to grow from $27 billion in 2023 to $65 billion by 2030, before reaching the ambitious $350 billion target by India’s 100th year of independence, it added.
India, being a global leader in generic drug supply, is expected to move up the value chain by focused on specialty generics, biosimilars, and innovative pharmaceutical products.
The report said the key to this growth would be India’s transition from a volume-based approach to a value-driven strategy.
It identifies three major areas that will drive this shift which are strengthening domestic Active Pharmaceutical Ingredients production, investing in bulk drug parks, and ensuring self-sufficiency in critical raw materials will be critical.
APIs exports, currently valued at $5 billion, are projected to reach $80-90 billion by 2047.
The report said that China dominating 35% of the outsourced API market, global supply chain diversification efforts such as the U.S. Biosecure Act present a major opportunity for India, it said.
Indian biosimilar exports, presently valued at $0.8 billion, are expected to grow fivefold to $4.2 billion by 2030 and reach $30-35 billion by 2047.
Increased research and development investments, regulatory simplifications in key markets like the US, and capacity expansion expected to boost India’s global standing in biosimilars.
The largest component of India’s pharma exports at $19 billion (70% of total exports), generic formulations are projected to grow to $180-190 billion by 2047.
India must enhance its capabilities in specialty generics, which offer higher margins and greater global market potential moving beyond commodity generics.
It highlighted that India supplies 55-60% of UNICEF’s vaccines but must shift focus towards high-value markets through clinical trials and manufacturing investments.
Over 40 new chemical and biological entities in development, India’s pharmaceutical exports in innovation could reach $13-15 billion by 2047.
India’s contract development and manufacturing organizations and contract research organizations are poised for growth, driven by supply chain diversification efforts from developed economies, the report concluded.
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