India Pharma Market to Reach USD 130 Bn by 2030; Long-Term Outlook at USD 450 Bn

The sector currently contributes nearly 1.72% to India’s GDP, underscoring its economic significance and its role in global medicine supply.

India’s pharmaceutical industry is projected to reach USD 130 billion by 2030, according to industry estimates, with a longer-term outlook indicating a possible expansion to USD 450 billion by 2047.

The sector currently contributes nearly 1.72% to India’s GDP, underscoring its economic significance and its role in global medicine supply.

The industry’s growth trajectory aligns with increasing investments and policy allocations directed toward research, manufacturing, and infrastructure. In the Union Budget 2025–26, the Department of Pharmaceuticals received an allocation of over ₹5,268 crore, reflecting a 29% increase from the previous year. The higher allocation is expected to support areas such as research and development, advanced manufacturing capabilities, and sectoral capacity building.

According to Yogesh Mudras, Managing Director of Informa Markets in India, the country’s pharmaceutical ecosystem has evolved into a dynamic sector known for its manufacturing scale, vaccine production capabilities, and competitive generics. He noted that the industry continues to strengthen its global position through advancements in innovation, technology adoption, and regulatory alignment.

Current focus areas in the sector include API self-reliance, driven by the need to reduce import dependency; sustainability measures, reflecting global expectations around responsible manufacturing; and digital transformation, which is reshaping quality systems, production environments, and supply-chain efficiencies. Industry stakeholders are also emphasizing export diversification, as shifting geopolitical trends influence global procurement patterns.

Alongside manufacturing advancements, companies are expanding capabilities in clean technologies, ESG-aligned processes, and Pharma 4.0 systems. These developments indicate a wider industry shift toward high-value, technology-driven production models. New product introductions, automation-led systems and green-compliance frameworks are increasingly becoming part of operational strategies across pharmaceutical hubs.

International collaborations have continued, with companies and technology suppliers from regions including China, Italy, Germany, Switzerland, and South Korea engaging with Indian firms across manufacturing, packaging, equipment, and analytical domains. Industry bodies such as Pharmexcil, IPEC India, BDMAI, FOPE, OPPI, and IPA remain involved in supporting regulatory discussions, quality standardization, and sectoral coordination.

As India strengthens its capabilities across the pharma value chain, long-term market projections reflect a growing role in global healthcare supply, backed by expanding infrastructure, rising investments, and increased focus on innovation-led manufacturing.

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