India’s Medicine and Antibiotics Exports Surge in US and Italy: Commerce Ministry Report
News Mania Desk/Agnibeena Ghosh/16th August 2024
India’s pharmaceutical exports have shown remarkable growth, particularly in the US and Italy, according to recent data from the Commerce Ministry. With the government prioritizing domestic manufacturing in the pharmaceutical sector, India’s exports of medicines and antibiotics have gained significant traction, marking the country as a key player in the global market.
In 2023, India emerged as the third-largest supplier of ‘medicine put up for retail sale’ to the United States, following Ireland and Switzerland. The commerce ministry data revealed that India’s pharmaceutical exports to the US were valued at $9 billion in 2023, a notable increase from $7.33 billion in 2022. This growth pushed India’s market share in the US to 13.1% in 2023, up from 10.08% the previous year. The rise in India’s exports coincides with a decline in market share for the top exporters, Ireland and Switzerland. Ireland’s share fell to 13.85% in 2023 from 17.18% in 2022, as its sales in the US dropped to $9.5 billion from $12.5 billion. Similarly, Switzerland saw its share decrease to 13.7% from 17.4% over the same period.
This surge in exports to the US underscores India’s growing influence in the global pharmaceutical industry, particularly in the highly competitive US market. The increase in India’s export share reflects the country’s enhanced manufacturing capabilities and the effectiveness of government initiatives aimed at bolstering the pharmaceutical sector.
In addition to the US, India has also made significant inroads into the Italian market, particularly in the antibiotics segment. India’s share among antibiotic exporters in Italy rose to 2.12% in 2023 from 0.96% in 2022, positioning the country as the tenth-largest supplier in that market. The value of India’s antibiotics exports to Italy increased substantially, reaching $23.34 million in 2023, compared to $11.48 million in 2022. This growth highlights India’s expanding footprint in Europe, a market traditionally dominated by established players.
India’s competitive edge extends beyond pharmaceuticals, as evidenced by its growing presence in the Magnetic Resonance Imaging (MRI) apparatus market in Germany. In 2023, India’s share in this market grew to 1.7% from 0.45% in 2022, with exports valued at $13.02 million, a significant rise from $2.93 million in 2022. Despite being the sixth-largest exporter of MRI apparatus, India’s progress in penetrating the German market demonstrates its potential to challenge leading exporters like the UK, which remains the top supplier with exports totaling $460 million.
The Indian government has placed a strong emphasis on the pharmaceutical and medical device sectors, making them priority areas under the Production Linked Incentive (PLI) scheme. These sectors were among the first to benefit from the PLI initiative, which aims to boost domestic manufacturing and enhance India’s competitiveness on the global stage.
An official from the Commerce Ministry noted that penetrating the European Union (EU) market is a significant challenge, but India’s recent successes reflect the concerted efforts to monitor various markets and identify opportunities for growth. The increase in exports to markets like the US, Italy, and Germany underscores the effectiveness of these strategies and positions India as a rising powerhouse in the global pharmaceutical and medical devices industry.
With continued support from the government and sustained efforts to enhance manufacturing capabilities, India’s presence in these markets is expected to grow, further solidifying its role as a key player in the global supply chain for medicines, antibiotics, and medical devices.
