New Delhi, May 31 (KNN) India's pharmaceutical exports are expected to surge over 11 per cent to a record USD 31 billion in the fiscal year 2024-25, propelled by multiple factors including drug shortages in the key U.S. market, according to a top official from the exporters' body under the Commerce Ministry.

For the fiscal year ended March 2024, India's pharma exports – a mainstay of the country's global trade – rose 9.6 per cent to USD 27.8 billion, despite numerous global challenges, said Ravi Uday Bhaskar, Director General of the Pharmaceuticals Export Promotion Council of India.

Over 50 per cent of last fiscal year's exports were destined for highly regulated markets such as North America and Europe.

Exports to the U.S. increased 15 per cent to more than USD 8 billion, while shipments to the U.K. were 21 per cent higher at USD 783 million, demonstrating the Indian pharmaceutical industry's robust growth amidst challenging conditions.

"As long as India continues to manufacture quality drugs at affordable prices, the industry will remain unmatched," Bhaskar said at the PharmaLytica expo in Hyderabad.

While geopolitical tensions, economic slowdown, and logistical hurdles posed obstacles, the Indian pharma industry also faced heat over quality issues last fiscal year.

Looking ahead, the shortage of generic prescription drugs in the U.S. is expected to increase due to facility shutdowns, driving up demand for Indian exports.

Similarly, shipments to Africa are projected to rise as non-governmental organisations resume supplying free drugs after shifting focus to COVID-19.

Pharma exports to Africa, which had declined 5 per cent in fiscal 2022-23, ended 8 per cent higher last fiscal year.

Barring the CIS countries, pharma exports to all other markets grew year-on-year in fiscal 2023-24. As an indicator of the road ahead, exports in April 2024 rose more than 7 per cent.

(KNN Bureau)