Export News

India\'s pharma sector has seen remarkable growth in exports, with 99% target already being achieved before FY25, government data suggests. India\'s drug formulations business and surgicals business have been a booster dose to domestic pharmaceutical companies, witnessing a robust growth. \"By October last year 99% of the target was achieved. By this speed we may exceed the target,\" said a senior pharma executive. According to the data by Directorate General of Commercial Intelligence and Statistics (DGCIS), drug formulations and biologicals are the mainstay, making up a major portion of India\'s pharmaceutical exports accounting for 75% of the total and logging a 11% growth. For bulk drugs there has been a volume growth but value has declined. \"This is due to the drop in prices of API and intermediates by China,\" said another expert. A weak vaccine demand has also been seen, logging a de-growth of 9% with Covid pandemic gone. Ayush and herbal products saw an 13% growth with more Indian companies qualifying from good manufacturing practices, he said. According to the data, exports to the US climbed substantially. \"North America has already done $6.2 billion. At this rate, it will end up doing $10 billion by March this year,\" he said. He also said it\'s a hefty and significant growth in spite of back orders and drug shortages. \"If these issues were not there, it would have grown by 25% instead of 17% logged now. The data suggests that growth in Europe has been stagnant. \"Primarily due to the Netherlands and Belgium....While exports in the UK have grown by 22%, Germany has seen a growth of 6% over last year in spite of recession,\" the pharma executive said. He said a significant growth has been seen both in the US and Europe. \"From $5.5 billion last year, Europe has already logged $3.2 billion. These two major markets growing significantly is a potential Europe business from the current level of $5.5 billion last year this year from April to October\' 2024. As far as the Africa market is concerned, it saw exports worth $4 billion last year. Although it has degrown by 3%, experts say with political stability coming in, they expect a level playing field again and going forward it may cross $10 billion. Experts say Russia could be a gamechanger. \"There are significant shortages in Russia due to the war. It has a potential to grow by 15 % as nobody is willing to take consignments to Russia. Russia holds a huge potential,\" he said.