Pharma exports robust at $5bn in April, May: Pharmexcil

New Delhi: India’s pharmaceutical exports reached $4.9 billion in April-May of FY26, according to data released by the government’s Pharmaceuticals Export Promotion Council of India (Pharmexcil) on Tuesday.

This marks a strong 7.38% expansion compared with the same period last year, highlighting the industry’s continued upward trajectory and its key role globally.

Pharmexcil, a body under the ministry of commerce, attributed the momentum to strategic initiatives focused on sustainable manufacturing, expanded global market presence, and digital innovation aimed at streamlining regulatory processes. 

It said these efforts are fundamental to India’s ambitious goal of achieving a trillion-dollar trade target for its pharma industry.

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“India’s pharmaceutical exports continue to demonstrate a steady year-over-year growth, with drug formulations and biologicals continuing to dominate the export category,” stated Namit Joshi, chairman of Pharmexcil.

“We attribute this growth to rising global demand, streamlined regulatory approvals, technological innovations, strategic partnerships, and economic stability,” Joshi said.

Sectoral drivers

Formulations and biologicals remain the backbone of India’s pharma exports, accounting for 75.74% of the total. Bulk drugs and drug intermediates also saw healthy growth, expanding by 4.40% in May 2025-26. 

Notably, there was a significant 13.64% increase in vaccine exports, reaching $190.13 million, underscoring India’s contribution to global health. Other key segments were surgical items (up 8.58%) and Ayush & herbals products (up 7.36%).

The North American Free Trade Agreement (NAFTA) region, Europe, Africa, and Latin America make up 76% of India’s pharmaceutical export destinations. 

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The US remains the top destination, with exports valued at $1.7 billion in May, representing 34.5% of total pharma exports and a 1.5% expansion. While Europe and Africa saw moderate growth, the Asean region emerged as a newly contracted area, showing promising diversification, the statement said. 

Joshi said the India-UK Free Trade Agreement (FTA) discussions showed it will significantly enhance supply chains, improve access to affordable medicines, and attract foreign direct investment, particularly in contract development and manufacturing (CDMO) and joint research.