Top Trends in 2025 in the Indian Bulk Drug Manufacturing Industry
The Indian pharmaceutical industry aspires to reach the milestones of US$130 billion by 2030 and US$450 billion by 2047 as part of the India@100 vision. This upward trajectory will be propelled by the industry’s commitment to innovation, integration with the global pharmaceutical landscape, and access to integrated healthcare.
Beyond just keeping up with the demand at home, the Indian pharma industry commands over 20% of the global pharma supply chain and addresses approximately 60% of the worldwide demand for vaccines. It meets 40% of the generic demand in the United States and provides a quarter of all medicines in the United Kingdom. India’s biotechnology industry comprises biopharmaceuticals, bio-services, bio-agriculture, bio-industry, and bioinformatics. The Indian biotechnology industry is expected to reach US$ 150 billion by 2025.
The Indian pharmaceuticals industry benefits from cost competitiveness, driven by factors such as lower labour costs, economies of scale, and efficient manufacturing processes. This cost advantage enables Indian pharmaceutical firms to provide competitively priced products both domestically and globally. This industry is considered to be among the most dynamic and vibrant industries as it ranks third in the world by volume and tenth in terms of value 1 and continues to grow at a fast pace. The industry consists of the two sectors of drugs and medical devices. The drugs sector includes the segments of Active Pharmaceutical Ingredients (APIs) or Bulk Drugs, formulations and vaccines.
The Indian bulk drugs manufacturing industry is set to experience significant developments in 2025.
Here are five key trends to watch:
1. Government Initiatives and Policy Support: The Indian government is implementing policies to boost domestic manufacturing of bulk drugs, including the establishment of bulk drug parks and production-linked incentive (PLI) schemes. These initiatives aim to reduce dependence on imports and enhance self-reliance in pharmaceutical production.
2. Increased Focus on Research and Innovation: Indian pharmaceutical companies are shifting from generic drug manufacturing to developing novel drugs and investing in research and development (R&D). This transition is supported by government schemes promoting research and innovation in the pharma and MedTech sectors.
3. Expansion of Biopharmaceuticals and Biosimilars: There is a growing emphasis on the development and manufacturing of biopharmaceuticals and biosimilars. Indian companies are investing in these high-value drugs to capture expanding markets and meet global demand.
4. Adoption of Advanced Technologies: The industry is increasingly leveraging advanced technologies such as artificial intelligence (AI), machine learning (ML), and advanced analytics to enhance drug development processes, improve manufacturing efficiency, and ensure quality control.
5. Global Market Expansion and Export Growth: Indian bulk drug manufacturers are expanding their presence in global markets, capitalizing on cost advantages and quality production. This expansion is facilitated by compliance with international regulatory standards and strategic partnerships.
These trends indicate a dynamic evolution in India’s bulk drugs manufacturing industry, driven by policy support, innovation, technological adoption and global market integration.
Author: Mr. R. K, Agrawal, Managing Director, Nakoda Chemicals Limited, and National President – Bulk Drug Manufacturers Association of India
Disclaimer: Views expressed in the article are the personal opinions of the author.
