India’s pharmaceutical industry has achieved a significant milestone in FY25, with drug and pharma exports crossing the $30 billion mark for the first time ever. The impressive 31% year-on-year surge in March 2025 played a pivotal role in surpassing the annual target of $29.38 billion. This growth came amid several global challenges, including geopolitical tensions and threats of U.S. tariffs, which fortunately did not affect pharma exports. The United States remained India’s top export destination, while other key markets like the UK, Brazil, and France contributed modestly. Key product categories like drug formulations and biologicals led the surge, while some regions such as Africa and Northeast Asia saw slight declines.
Key Highlights
FY25 Total Pharma Exports
- Touched $30.47 billion, up 9.39% from $27.85 billion in FY24.
- Exceeded the FY25 target of $29.38 billion.
March 2025 Surge
- Exports rose 31.21% YoY, reaching $3.68 billion.
- One of the strongest monthly performances of the fiscal year.
Top Performing Months
- January 2025: 21.47% growth
- May 2024: 10.63% growth
- February 2025: Only month with a contraction (-1.52%)
Product Categories (April–Feb FY25)
- Drug formulations & biologicals: $20.12 billion (75%+ share, 9% growth)
- Bulk drugs & intermediates: $4.31 billion (1.40% growth)
- Vaccines: $1.04 billion (down 4.20%)
- Surgical products: $683.47 million (up 5.16%)
- Ayush & herbal products: $620.97 million (up 6.17%)
Top Markets
- United States: $8.95 billion (14.29% growth, 1/3rd of total exports)
- Others: UK, Brazil, France, South Africa (combined <10.5%)
Markets with Export Decline
- UAE (-17.7%), Turkey (-16%), Sri Lanka (-14.6%),
- Netherlands (-13.79%), China (-10.6%), Belgium (-7.37%)
Regional Export Share
- NAFTA (incl. U.S.): 36.6% share, 14.06% growth to $9.8 billion
- Europe, Africa, and LAC: Major contributors
- Africa saw a decline of 1.74%, as did North-East Asia
U.S. Tariff Threats
- A proposed 26% tariff on goods by President Trump spurred export rush
- Pharma products excluded from tariff list
| Summary/Static | Details |
| Why in the news? | India’s Pharma Exports in FY25 Cross $30 Billion Mark |
| Total Pharma Exports (FY25) | $30.47 billion |
| Total Pharma Exports (FY24) | $27.85 billion |
| Growth in Total Exports (YoY) | 9.39% |
| Target for FY25 | $29.38 billion |
| March 2025 Exports | $3.68 billion |
| Growth in March 2025 (YoY) | 31.21% |
| Top Export Destination | United States |
| U.S. Exports Value (FY25) | $8.95 billion |
| Growth in U.S. Exports (YoY) | 14.29% |
| Drug Formulations & Biologicals | $20.12 billion (+9% YoY) |
| Bulk Drugs & Intermediates | $4.31 billion (+1.40% YoY) |
| Vaccine Exports | $1.04 billion (−4.20% YoY) |
| Surgical Products Exports | $683.47 million (+5.16% YoY) |
| Ayush & Herbal Products | $620.97 million (+6.17% YoY) |
| Region with Highest Share | NAFTA (36.6% share) |
| NAFTA Export Value | $9.80 billion (+14.06% YoY) |
| Regions with Decline | Africa (−1.74%), N.E. Asia |
| Countries with Declining Exports | UAE, Turkey, Sri Lanka, China, etc. |
| U.S. Tariff Impact on Pharma | Exempted from 26% tariff threat |
| Tariff Status | On hold for 90 days |
India Secures 'BBB' Rating with Stable O...
Moody’s Cuts India’s 2025 GDP Forecast t...
India Set to Become 4th Largest Economy ...
