Indian Economy News

India produces over 60,000 generic drugs, highlights Mr. Bhagwant Khuba

  • IBEF
  • July 26, 2023

According to Mr. Bhagwant Khuba, Minister of State (MoS) for Chemicals and Fertilisers, India's pharmaceutical industry is the third largest by volume and the 13th largest by value in the world, generating more than 60,000 generic drugs across 60 therapeutic categories.

 The statement from the minister came as a written reply to questions relating to the consumption of generic drugs in the last five years. It also included information on the Indian pharmaceutical industry's annual turnover during the last five years. The turnover for FY22 was US$ 42.06 billion (Rs. 344,125 crore), while it was US$ 40.10 billion (Rs. 328,054 crore) in FY21 and US$ 35.45 billion (Rs. 289,998 crore) in FY20.

The two Production Linked Incentive (PLI) schemes that were introduced to promote domestic manufacturing of key pharmaceutical ingredients and generic medications were also noted by the Minister when asked about the government's efforts to increase the production of generic and affordable drugs.

The two PLIs are the PLI scheme for pharmaceuticals with an outlay of US$ 1.83 billion (Rs. 15,000 crore) and the PLI scheme for the promotion of domestic manufacturing of Key Starting Materials (KSMs), Drug Intermediates (DIs), and Active Pharmaceutical Ingredients (APIs) with an outlay of US$ 848.4 million (Rs. 6,940 crore).

 "Furthermore, Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) has been launched to provide quality generic medicines at affordable prices to all citizens, especially the poor and the deprived ones," the minister said.

 In 2021, the government announced the PLI scheme, with an outlay of US$ 24 billion (Rs. 1.97 lakh crore) in 14 sectors, including telecommunication, white goods, textiles, and pharmaceuticals. The scheme is quickly gaining traction in eight of the 14 industries- large-scale electronics, telecom, pharmaceuticals, food processing, white goods, and autos and auto components.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.