India’s Pharmaceutical Market Valued At $50 Billion For FY24

The Indian pharmaceutical market for the financial year 2023-24 is valued at $50 billion as the domestic consumption value was at $23.5 billion and export was valued at $26.5 billion.

The domestic pharma industry is the world's third largest by volume and 14th by value of production, the government notified in an official release.

With an extremely diversified product base covering generic drugs, bulk drugs, over-the-counter drugs, vaccines, biosimilars, and biologics, among others, the Indian pharmaceutical industry has a strong global presence.

National Accounts Statistics 2024, published by the Ministry of Statistics and Programme Implementation notes that the total output for the industry, that is, pharmaceuticals, medicinal and botanical products is Rs 4,56,246 crore for FY 2022-23 at constant prices, of which value added is Rs 1,75,583 crore.

A total of 9,25,811 number of people are engaged in pharmaceuticals, medicinal and botanical products industry during FY 2022-23.

What Goes On Behind The Scenes?

There are several institutions that are responsible for the research and development (R&D) and innovation in the pharma sector. these institutions are under various ministries and departments.

The Department of Pharmaceuticals has set up seven National Institutes of Pharmaceutical Education & Research (NIPERs) as institutes of national importance, which besides imparting postgraduate and doctorate education, conduct high-end research in various pharma specializations.

Additionally, the department has also framed a “National Policy on Research & Development and Innovation in Pharma-MedTech Sector in India” to encourage R&D in pharmaceuticals and medical devices and to create an ecosystem for innovation in the sector so India can become a leader in drug discovery and innovative medical devices.