India’s pharmaceutical exports continued to show resilience, reaching nearly $29 billion till February in FY26, registering a 5.6% year-on-year growth despite a challenging global environment marked by pricing pressures and trade uncertainties.
Formulations, vaccines drive export performance
According to K. Raja Bhanu, Director General of the Pharmaceuticals Export Promotion Council of India (Pharmexcil), exports during April–February FY26 stood at $28.29 billion, led by robust demand for formulations, biologicals, vaccines and Ayush products.
Speaking at the Pharmexcil’s Chintan Shivir in Hyderabad, he noted that the sector has remained one of the few consistent performers on the export front despite global disruptions.
Sector poised for scale-up to $130 billion by 2030
Highlighting the industry’s long-term outlook, Bhanu said India’s pharmaceutical sector, currently valued at around $60 billion, is projected to more than double to $130 billion by 2030, driven by innovation, diversification and expanding global demand.
Full-year exports reflect stronger growth trajectory
On an annualised basis, pharmaceutical exports reached $30.47 billion, reflecting a stronger 9.4% year-on-year growth, indicating an acceleration in momentum towards the latter part of the fiscal.
Shift from cost advantage to quality-led positioning
Rajesh Agrawal, Commerce Secretary, Department of Commerce, underlined the need for a strategic shift, stating that India must move beyond its image as a low-cost drug manufacturer and focus on building global trust anchored in quality, compliance and reliability.
West Asia crisis poses supply chain challenges
Geopolitical tensions in West Asia have begun to impact the sector, particularly in the availability of key intermediates and solvents, creating supply-side constraints for manufacturers.
Government steps in to prioritise critical inputs
The government is actively engaging with stakeholders to mitigate disruptions by prioritising essential inputs such as LPG supplies and exploring alternative sourcing channels. The pharmaceutical sector, officials said, remains a priority in managing supply constraints.