Authored by: Ms. Shivani Wagh, Joint Managing Director of Supriya Lifescience Ltd.
As the global pharmaceutical supply chain continues to evolve under tariff stress and trade uncertainties, India has a prime opportunity to emerge as a leader in API (Active Pharmaceutical Ingredient) self-sufficiency. With a deep-rooted legacy in pharmaceuticals, India must now leverage this strength through a strategic, multi-faceted approach that reinforces its role as a resilient and sustainable API manufacturing hub.
Building a Robust Local Manufacturing Base
Although India has made substantial progress in API production, scaling domestic manufacturing capacity is essential to significantly cut down import dependence. A resilient and scalable manufacturing ecosystem will not only boost supply chain strength but also offer long-term economic benefits and cost efficiency.
PLI Scheme: A Catalyst for API Growth
The Production Linked Incentive (PLI) scheme continues to be a game changer, offering both vision and direction to India’s API ambitions. Companies that have aligned themselves early with this initiative are now gaining first-mover advantage, reinforcing the importance of proactive participation.
“Bengaluru earned its reputation as the Garden City through its abundant greenery and thoughtful urban planning,“
said Karishmah Siingh, President, Sales, Marketing & CRM, Sattva Group.
“As the city has grown into India’s technology capital, we have witnessed the gradual erosion of that green character. Sattva Urbana represents our commitment to bringing gardens back to the Garden City; creating spaces where families can reconnect with nature while enjoying world-class connectivity and modern amenities.”
Beyond Incentives: Regulatory Efficiency Needed
While the PLI scheme is commendable, government support must extend beyond financial incentives. Streamlining regulatory processes and reducing approval timelines are vital to foster industry confidence and avoid production bottlenecks. An efficient, transparent, and responsive regulatory framework can unlock faster project execution and market entry for new players.
Global Tariff Shifts: An Opening for India
The impending tariffs on imported medicines by the U.S. from August 2025 present India with a unique opportunity to capture market share in highly regulated regions. By strengthening domestic capacity and supply chains, India can bridge global gaps and position itself as a reliable API supplier to the world.
Holistic Policy Support for Business Ease
Accelerating the path to self-reliance requires a policy environment that fosters ease of doing business, from simplifying compliance frameworks to ensuring access to affordable utilities. A consistent and industry-aligned policy roadmap will be instrumental in enabling long-term growth.
R&D and Innovation: Driving Competitiveness
Investments in R&D and process innovation can reduce manufacturing costs, improve efficiency, and enhance scalability. When combined with backward integration, these efforts can offer a strong competitive edge, secure raw material supply, and elevate product quality.
Infrastructure: A Foundation for Scalable Growth
Given the capital-intensive nature of API manufacturing, dedicated infrastructure support is essential. Facilities require uninterrupted utilities, waste management systems, and reliable logistics. The government must continue investing in pharma-friendly infrastructure that supports large-scale, compliant, and sustainable manufacturing.
India’s Strategic Opportunity in API Leadership
Through a multi-dimensional strategy—scaling local production, enhancing regulatory efficiency, fostering innovation, and strengthening infrastructure—India can position itself as a global leader in API manufacturing. By embracing this opportunity, the country can bolster its pharmaceutical ecosystem and assert its influence on the global stage.
