India Pharma Outlook Team | Monday, 17 August 2026
Pharmaceutical growth in India is entering a phase where CDMOs can play a larger role in shaping manufacturing, innovation and global market access.
Recent developments involving Gland Pharma, Akums Drugs, Neuland Laboratories and Syngene show how companies are expanding contract development and manufacturing capabilities across complex injectables, sterile APIs and advanced pharmaceutical services.
India’s Q1 FY27 pharma exports also rose 6.8 per cent to USD 8.1 billion, while industry reports identified growing demand for CDMO services.
These developments point to a broader shift, that Indian companies are moving beyond volume-driven manufacturing toward specialized partnerships that can strengthen capacity, support global customers and accelerate long-term pharmaceutical growth.
Gland Pharma provides one of the clearest examples of how CDMO strategy can support pharmaceutical growth. The company signed a strategic agreement with a global pharmaceutical company and expects the partnership to generate USD 90–100 million in annual revenue. The deal focuses on complex injectables and expands Gland Pharma’s contract manufacturing pipeline in regulated global markets.
Gland Pharma also reported Rs. 1,800.27 crore in Q1 FY27 revenue, up 19.6 per cent year over year. Net profit rose 47.1 per cent to Rs. 316.95 crore, while EBITDA reached Rs. 489.36 crore. The company attributed growth to recent launches from its CDMO portfolio and strong customer demand.
"Growth was driven by recent product launches from the CDMO portfolio and strong customer demand for our diversified product mix. We continue to strengthen our platform through investments in differentiated technologies and capacity expansions, which position us well for sustainable long-term growth." said Srinivas Sadu, Executive Chairman, Gland Pharma.
This combination of financial performance and new partnerships shows how CDMO operations can contribute directly to pharmaceutical growth. Gland Pharma can use its manufacturing infrastructure, injectable expertise and regulatory capabilities to serve global customers without relying solely on its own product pipeline.
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The Gland Pharma-Neuland Laboratories partnership adds another dimension to India’s CDMO strategy. The companies entered a long-term partnership focused on sterile APIs for microparticle depot products and other injectable therapies.
Gland Pharma will develop a dedicated sterile manufacturing suite in Visakhapatnam. The facility will add approximately 1,400 kg of annual capacity and meet cGMP, US FDA and European Union standards. Neuland brings API expertise, while Gland contributes sterile manufacturing capabilities.
The partnership matters for pharmaceutical growth because increasingly complex therapies require specialized manufacturing infrastructure. The companies can combine their capabilities to serve rising demand for sterile APIs and strengthen supply reliability for global pharmaceutical customers. Gland Pharma also described the arrangement as a scalable CDMO offering designed to address increasing customer demand.
Akums Drugs demonstrates how a strong CDMO business can influence company-wide pharmaceutical growth. Its Q1 FY27 operating revenue rose 13.9 per cent to Rs. 1,167 crore, while EBITDA increased 35.4 per cent to Rs. 175 crore. Profit after tax climbed 55.4 per cent to Rs. 101 crore.
The CDMO segment remained the company’s main growth engine. CDMO revenue increased to Rs. 964 crore from Rs. 813 crore, while CDMO EBITDA rose 36.8 per cent to Rs. 163 crore. Higher volumes and improved API prices supported the performance.
Sanjeev Jain, Co-Founder & Director, said FY27 began on a strong and encouraging note. He pointed to healthy demand and continued client trust in Akums. He said the CDMO performance reflects Akums’ position as a preferred manufacturing partner. The company’s CDMO performance remains important for its overall growth outlook. Rising revenue and EBITDA also supported the improvement in consolidated profitability.
Akums plans to strengthen its CDMO leadership by scaling high-value capabilities and improving operational efficiency. Its performance shows how contract manufacturing can create scale while supporting margins and profitability.
Syngene represents another important part of India’s evolving CDMO landscape. Its Q1 FY27 revenue declined 16 per cent to Rs. 736 crore, but the company sharpened its focus on CDMO services and AI-led platforms.
The development highlights an important shift within the CDMO model. Customers increasingly need partners that can support more than manufacturing. Drug developers want technical capabilities, development expertise, data-driven platforms and specialized services across the product lifecycle. This shift can create a larger opportunity for Indian CDMOs as pharmaceutical companies seek flexible partners that can combine development and manufacturing capabilities.
The growing CDMO activity aligns with India’s expanding position in global pharmaceutical manufacturing. India exported USD 8.1 billion worth of pharmaceuticals in Q1 FY27, up 6.8 per cent from USD 7.58 billion a year earlier. Formulations and biologicals accounted for USD 5.98 billion, while bulk drugs and intermediates reached USD 1.36 billion. The US remained the largest export market at USD 2.5 billion.
As global customers demand complex products, sterile APIs, injectables and specialized manufacturing, Indian CDMOs can capture more value from this export ecosystem. The model also allows global pharmaceutical companies to access India’s manufacturing capabilities without establishing every facility themselves. For India, that creates opportunities across capacity expansion, technology adoption, skilled employment, exports and integration into global pharmaceutical supply chains.
The latest developments suggest that Indian CDMOs are moving toward deeper relationships with pharmaceutical companies. Gland Pharma’s global agreement, its sterile API partnership with Neuland and Akums’ expanding CDMO operations demonstrate this transition.
The next phase of pharmaceutical growth will depend increasingly on specialized capabilities rather than manufacturing scale alone. Companies that invest in complex products, sterile manufacturing, development expertise and global regulatory standards can position themselves as strategic partners rather than conventional contract manufacturers.
With Gland Pharma, Akums Drugs, Neuland Laboratories and Syngene strengthening their CDMO strategies, India is building a broader manufacturing ecosystem that can support both domestic expansion and global pharmaceutical demand.
India’s CDMO sector is moving beyond cost-driven manufacturing toward complex drugs, sterile APIs, biologics and advanced therapies. With India accounting for less than 5 per cent of the global CDMO market, the sector has significant growth potential.
Stronger CDMO capabilities can help Indian pharma companies capture higher-value global contracts, expand exports, build specialized capacity and strengthen India’s position in the global pharmaceutical supply chain.
