Exports in Indian Pharma likely to Surge 15% in FY24

Exports in the India's pharmaceutical sector to the US have surged 15% in the first 11 months of the financial year 2024 despite being faced with many regulatory challenges and rise in product pricing pressures.

The pace of India’s pharma exports has more than doubled from the 6.18% growth in the same period of FY23, according to estimates that have been provided by Pharmaceutical Export Promotion Council (Pharmexcil).

Exports to the US market had climbed to $7.83 billion during the April-February period from $6.8 billion in the same period in financial year of 2023.

Total pharmaceutical exports from India increased 9.34% at $25.04 billion from $22.9 billion during the period that is under review. The US contributes to about 30% of India's total pharmaceutical exports.

Because of drug shortages  in the US and European countries and revival in demand in Africa, pharmaceutical exports from India are likely to touch $28 billion in 2023-24 and register a 10.2 per cent growth as has been said by a senior official at the Pharmaceutical Export Promotion Council (Pharmexcil).

Exports to countries like Zambia, Nigeria, Zimbabwe, and Burkina Faso dipped, bringing down shipments to the African region by 5.4 per cent. R Uday Bhaskar, director general, Pharmexcil, said that after a negative growth in 2022, the growth in US exports has come as good news for the Indian pharma industry.

"Till FY16, India's exports were always growing at more than twice the rate as we were getting faster approvals of Abbreviated New Drug Applications ... However, later USFDA not only slowed down its approval rate but even the US local market was also sluggish," he said.