 "drugs, pharma")
The US remained the largest destination for India’s pharmaceutical (pharma) exports, accounting for a 36.6 per cent share, or $9.8 billion, during April–February 2024–25. With the US administration expected to impose tariffs on pharma imports, Indian exporters are looking to diversify their markets.
The US market grew 14 per cent despite a large base in April–February 2024–25, according to data shared by the Pharmaceuticals Export Promotion Council of India (Pharmexcil).
Speaking to Business Standard, Bhavin Mehta, vice-chairman of Pharmexcil and whole-time director of Kilitch Drugs (India), said it is not easy to penetrate new markets. “The minimum gestation period to enter a new market is at least a year and a half to two years. Even if exporters start work on a war footing today, it will not be until 2026 that we see something on the ground,” he said, adding that Pharmexcil has begun a risk-based assessment of export markets.
Meetings between exporters and senior government officials are expected later this month.
“The idea is to derisk our export business, and the obvious focus countries would be in Africa and Latin America (LatAm),” said one Gujarat-based exporter. “However, even big pharma firms will try to derisk their business and increase their share in emerging markets like LatAm, Africa, and the Association of Southeast Asian Nations (Asean), it will not be easy for small and midsized exporters like us to compete with the larger players, as they have the advantage of economies of scale,” he added.
Pharmexcil has identified Africa as a ‘thrust’ area, Mehta said, adding that last week Pharmexcil led a delegation to three African countries — Tanzania, Ethiopia, and Zambia.
Mehta said India’s pharma exports grew by 6.95 per cent to $26.78 billion between April and February 2024–25. The March numbers are yet to come in, and exports for the full year are expected to be around $27 billion. The US, Europe, and Africa are the largest export regions for India, together accounting for almost 70 per cent of the country’s total pharma exports.
The European Union (EU) and Africa will be the next focus markets for Indian exporters, he felt. While exports to the EU grew by a modest 2.72 per cent, exports to Africa fell by 1.74 per cent.
Mehta pointed out that the UK and France have shown strong growth during the year. “The UK market grew by around 17 per cent, while France saw growth of around 9 per cent,” he said, adding that several Indian exporters supply to France, which, in turn, exports to several French-speaking West African countries.
Pharmexcil typically leads four delegations to overseas markets each year — the Commonwealth of Independent States, LatAm, Africa, and Asean countries.
Mehta said that in the 2025–26 edition of the International Pharma and Healthcare Exhibition, the idea is to invite regulators from different countries to showcase the quality of Indian pharma manufacturing.
