Pharma City Hyderabad has attracted substantial investments from API companies, amounting to a staggering sum of 20,000 crores. This thriving metropolis has established itself as a prominent hub for the pharmaceutical industry in India and continues to witness remarkable growth.
The domestic pharmaceutical sector plays a vital role in catering to the medical needs of over 150 countries worldwide. Notably, Indian companies are responsible for supplying 40 percent of the generic drugs sold in the United States, highlighting their significant contribution to the global pharmaceutical market. At the recent pharma equipment exhibition called ‘Formalitica,’ industry representatives confirmed India’s third position in terms of pharmaceutical production volume. However, they emphasized the importance of focusing on the development of novel drugs to foster future growth in the domestic pharma industry.
RK Aggarwal, the National President of the Bulk Drug Manufacturers Association of India (BDMAI), expressed optimism regarding the investment potential in local active pharmaceutical ingredient (API) companies. Should Pharma City in Hyderabad become fully operational, these API companies are expected to invest an estimated 15,000-20,000 crore rupees. Such investments have the potential to attract substantial foreign direct investment, bolstering the API sector’s growth. Currently, bulk drugs account for 25 percent of the Indian pharma industry, further underlining the significance of API companies.
To propel the Indian pharmaceutical industry to new heights, valuable growth is essential. Harish Jain, President of Karnataka Drugs and Pharmaceutical Manufacturers, emphasized the need to increase India’s ranking not just in terms of quantity but also in terms of value. Despite holding the third position in terms of production quantity, India currently occupies the 14th spot in terms of value. Jain advocates for India’s ascent to at least the fifth position, signifying the nation’s commitment to producing high-value pharmaceutical products.
In 2014, the combined worth of the pharmaceutical, biotechnology, and medical devices industry in Telangana amounted to 5,000 crores. However, the industry’s rapid progress prompted an upward revision of the target, aiming for 10,000 crore dollars within a decade. Astoundingly, the industry has already surpassed the initial target, reaching a valuation of 8,000 crore dollars. Telangana Industries Principal Secretary, Jayesh Ranjan, subsequently revised the target to an ambitious 25,000 crore dollars, signifying the region’s determination to foster further growth in the pharmaceutical sector.
Known as the pharma center of India, Hyderabad stands as a testament to the nation’s prowess in pharmaceutical manufacturing. The city boasts an impressive count of 214 USFDA-approved pharmaceutical manufacturing units, symbolizing its commitment to quality and adherence to international standards. Avinash Kumar Talwar, the Vice President of Dr. Reddy’s Laboratories, predicts a remarkable growth trajectory for the domestic pharmaceutical market, estimating it to reach a staggering 13,000 crore dollars by the year 2030. Talwar emphasized the growing demand for state-of-the-art equipment to facilitate the development of new drugs and advanced analysis techniques.
Formalita, the prestigious exhibition, witnessed active participation from 150 companies and renowned brands, further solidifying the significance of Pharma City Hyderabad in the pharmaceutical landscape.
