India’s Pharma Industry Sees 7.8% Growth, Govt. Claims Success of Schemes

India’s pharmaceutical industry has recorded a 7.8 per cent year-on-year growth in April 2025. The data is as per India Ratings, part of the Fitch Group. This growth is indicative of a strong domestic demand as well as the introduction of new products.

Notably, India ranks third in the world in pharmaceutical production by volume and 14th by value. India is the largest global supplier of generic medicines. India supplies 20 per cent of the worldwide demand.

India's role in vaccine production is also vital.  The country supplies 55 to 60 per cent of Unicef’s global vaccine needs. In 2023–24, India’s pharmaceutical sector recorded a turnover of Rs 4,17,345 crore. This figure reflects a sustained annual growth rate exceeding 10 per cent over the last five years.

The Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) runs 15,479 Jan Aushadhi Kendras, offering generic medicines at prices up to 80% lower than branded ones.

As per government claims, the Production Linked Incentive (PLI) Scheme for Pharmaceuticals, having an outlay of Rs 15,000 crore, supports  55 projects focused on producing advanced drugs for diseases like cancer and diabetes.

Another PLI scheme worth Rs 6,940 crore aims at domestic production of key drug ingredients, including Penicillin G, for reducing reliance on imports. Again, an allocation of Rs 3,420 crore under the PLI scheme for medical devices is driving the local manufacture of advanced equipment such as MRI machines and cardiac implants.

The govt further claims that the Promotion of Bulk Drug Parks scheme with Rs 3,000 crore is shaping mega hubs in Gujarat, Himachal Pradesh and Andhra Pradesh. This will make medicines cheaper and faster. 
On the other hand, the Strengthening of Pharmaceuticals Industry (SPI) Scheme with Rs 500 crore funds research and upgrades labs for establishing the base for Indian companies to compete globally.

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