India, the largest provider of generic drugs globally, is well-known for its affordable generic medications and the volume of Pharma exports from India. Indian pharmaceutical industry is the world’s third-largest pharmaceutical production. Generic drugs, bulk drugs, over-the-counter medications, contract research and manufacturing, and biologics are a few of the components of the Indian pharma industry. India has the most pharmaceutical exporters in India, with manufacturing facilities making up around eight percent of the worldwide API market.
Before 1970, the Indian pharmaceutical industry had around a five percent share of the market in India. By 2020, the scenario has changed, and Indian pharma now has an almost eighty percent share of the global market. Over the last years, pharma companies in Mumbai have gained the leading position in the landscape of international pharmaceuticals. Technological innovation, diversifying the export market, self-dependence, and building capability for the Indian industry are the key factors behind this success.
Factors behind the success
This drastic growth of the Indian pharma industry has become possible because of the establishment of the Patent Act in 1970. It enables pharma companies to capture the market. The essential factors behind the success of the Indian pharma industry:
- Cost-effective Medicines
Generic drugs and vaccines are cost-effective and have the same effect as the medicines from the top brands. As India is able to produce high-quality yet low-cost drugs, this makes India one of the highest drug manufacturers in the whole world. The cost of Indian medicine is amongst the lowest in the world. With the flourishing industry of producing generic drugs, multiple well-known pharma companies in Mumbai are developing their pharma business.
- Projects from the West
The main reason behind the excellent performance of the pharma industry is exporting to western nations. The superb manpower of India and its quality products attract many drug manufacturing projects from western countries. By this, western countries can have affordable businesses and maximize production rates. Most medium-sized pharma players and pharmaceutical exporters in India take on such projects.
- Government Supports
Government schemes are helpful for pharma businesses to become successful. Government support encourages the pharma industry to come to the forefront. The government allows pharma companies to take seventy percent of Foreign Direct Investment. This makes it easier for owners of small pharma companies to attract foreign projects and manage business more efficiently.
- International Market
Globalization has a huge role in shaping the ground for the pharma industry market. Every country wants high-quality drugs at inexpensive rates, and India is presently the biggest provider of such requirements. This attracts more international demands. The increasing need for pharma products in the world market increases the volume of pharma exports from India and the popularity of the Indian pharma industry.
Conclusion
After COVID-19, there is more opportunity for pharmaceutical exporters in India to have a powerful place in the global drug supply market. The availability of essential medicines by one of the best pharma companies in Mumbai, like Ciron Drugs, at a reasonable cost, is the fundamental cause of this remarkable success. The Indian pharmaceutical industry, a strategic industry for the nation, contributes around three percent to the GDP. Pharma exports from India earn a net foreign exchange of more than ten billion dollars annually. It is not far for India to become the Pharmacy of the World.