The active pharmaceutical ingredients (API) industry in India is expected to experience significant growth, with a projected value of INR 1.82 trillion by 2030, expanding at a compound annual growth rate (CAGR) of 8.26% during the 2025-2030 period. In 2023, the industry was valued at INR 1.07 trillion. India’s position as a leading supplier of generics is driving demand for APIs both domestically and globally, with around 50% of its APIs being exported to developed markets such as the US and Europe.
The industry’s growth is attributed to several market drivers, including the shift towards self-reliance in pharmaceutical manufacturing and the push for compliance with quality standards such as GMP certifications. Additionally, as nations aim to reduce their dependence on China for API sourcing, India’s well-established manufacturing capabilities make it a significant alternative supplier globally.
The market trends indicate that Indian API manufacturers are focusing on quality control and compliance with GMP to sustain their competitive edge. To address changing regulatory requirements, Indian firms are investing in improved infrastructure, advanced technologies, and a skilled workforce to maintain consistent product quality and compliance.
The report provides an in-depth analysis of the API industry in India, covering key topics such as market definition and structure, market overview, market influencers, market trends, government initiatives, trade analysis, and competitive landscape. The report also profiles key companies in the industry, including Aurobindo Pharma Limited, Divi’s Laboratories Limited, Dr. Reddy’s Laboratories Limited, and Sun Pharmaceutical Industries Limited.
The growth of the API industry in India is expected to be driven by the increasing demand for high-quality APIs, the government’s initiatives to promote the industry, and the country’s strategic location and manufacturing capabilities. However, the industry also faces challenges such as intense competition, regulatory requirements, and the need for continuous investment in research and development.
Overall, the report provides a comprehensive overview of the API industry in India, highlighting its growth prospects, market trends, and competitive landscape. It is an essential resource for companies, investors, and researchers looking to understand the industry’s dynamics and opportunities.