The next phase of growth should focus on moving up the value chain… will require greater investment in R&D, technology transfer and co-development of complex generics, biosimilars and specialised therapies.
India’s pharmaceutical exports rose 4.90% year-on-year (YoY) to $16.14 billion in the first half of FY27, as strong demand from Europe, Latin America and ASEAN markets offset a decline in shipments to North America, including the crucial U.S. generics market.
According to the Pharmaceuticals Export Promotion Council of India (Pharmexcil), Europe emerged as a key growth driver, with exports rising 9.66% to $3.29 billion. Accounting for 20.38% of India’s pharmaceutical exports, the region offered opportunities for deeper engagement, particularly in Germany, the Netherlands and France.
In contrast, exports to the North American Free Trade Agreement (NAFTA) region, India’s largest pharmaceutical market, declined 2.05% YoY to $5.3 billion. The region accounted for 32.87% of total shipments.
Other markets also supported growth. Exports to Africa increased 6.48% YoY to $2.25 bllion, while Latin America recorded a 16.58% rise to $1.3 billion. Shipments to the Association of Southeast Asian Nations (ASEAN) surged 21.54% YoY to $1.06 billion.
The growth was supported by exports across key product categories, including drug formulations and biologicals, bulk drugs and intermediates, and surgical products.
Drug formulations and biologicals remained the largest category, accounting for 73.84% of total exports at $11.91 billion, an increase of 3.81% YoY. Bulk drugs and drug intermediates grew 12.07% to more than $2.75 billion, while surgical product exports rose 9.53% to nearly $427 million.
The diversified market performance helped sustain export growth despite weaker North American shipments, Pharmexcil Chairman Namit Joshi and Vice-Chairman Bhavin Mehta said on Thursday. Exports in the July-September quarter rose 3.05% YoY to $8.04 billion.
“The next phase of our growth should focus on moving up the value chain… will require greater investment in research and development, technology transfer and co-development of complex generics, biosimilars and specialised therapies. Europe presents significant opportunities for such collaborations, given its strong research and innovation ecosystem,” Mr. Joshi said.
Mr. Mehta said expanding exports across Europe, ASEAN, Latin America and Africa demonstrated the opportunities available to Indian pharmaceutical companies across the value chain.
Published – October 29, 2026 11:30 pm IST
