“The Indian Pharmaceutical industry plays a prominent role in the global pharmaceutical industry,” it said adding, India is ranked 3rd worldwide in the production of pharma products by volume and 14th by value.
India’s domestic pharmaceutical market is estimated to reach USD 130 billion by 2030 and the pharma industry has sustained its growth momentum after the pandemic, according to the Economic Survey 2022-23. The country’s pharmaceutical exports achieved a healthy growth of 24 per cent in FY21, driven by COVID-19-induced demand for critical drugs and other supplies made to over 150 countries, said the survey tabled in Parliament on Tuesday.
“The Indian Pharmaceutical industry plays a prominent role in the global pharmaceutical industry,” it said adding, India is ranked 3rd worldwide in the production of pharma products by volume and 14th by value.
The nation is the largest provider of generic medicines globally, occupying a 20 per cent share in global supply by volume, and is the leading vaccine manufacturer globally with a market share of 60 per cent, it added.
On the home front, the survey said, “India’s domestic pharmaceutical market is estimated at USD 41 billion in 2021 and is likely to grow to USD 65 billion by 2024 and is further expected to reach USD 130 billion by 2030.”
In terms of exports, the pre-Budget document stated that Indian pharmaceutical exports achieved a healthy growth of 24 per cent in FY21, driven by COVID-19-induced demand for critical drugs and other supplies made to over 150 countries.
“The performance of pharma exports in FY22 has been robust, sustaining growth despite the global trade disruptions and drop in demand for COVID-19-related treatments. Carrying forward this growth momentum, drug and pharmaceutical exports during April-October 2022 was 22 per cent higher than the corresponding pre-pandemic period of FY20,” it said.
The sector has also witnessed growth in foreign investments.
“Cumulative FDI in the pharma sector crossed the USD 20 billion mark in September 2022. Further, FDI inflows have increased four-fold over five years until September 2022, to USD 699 million, supported by investor-friendly policies and a positive outlook for the industry,” the survey pointed out.
In terms of making drugs affordable to the common people, the survey said checks on pharmaceutical prices have been kept through the principles for the regulation of the prices of drugs based on the National Pharmaceuticals Pricing Policy, 2012, administered by the Department of Pharmaceuticals.
“Until December 31, 2022, ceiling prices for 890 formulations of 358 drugs/medicines across various therapeutic categories under National List of Essential Medicines (NLEM), 2015 have been fixed by National Pharmaceuticals Pricing Authority,” it said.
Subsequently, it said NLEM 2022 was promulgated by the Ministry of Health and Family Welfare in September 2022 and revised Schedule I of Drugs (Prices Control) Order (DPCO) was notified on November 11, 2022 by Department of Pharmaceuticals incorporating NLEM, 2022.
Ceiling prices of 119 formulations under NLEM, 2022 have been fixed until December 31, 2022. In addition, retail prices for 2,196 formulations have been fixed under the DPCO, 2013, it added.
Quality generic medicines at affordable prices have been made available under the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) through dedicated outlets known as Janaushadhi Kendras.
“Under the PMBJP, until 31 December 2022, more than 9,000 PMBJKs have been opened across the country. At present, the product basket of PMBJP comprises 1759 medicines and 280 surgical devices available for sale,” the survey said.
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