Indian pharma drives innovation to enhance its API capabilities

Indian pharmaceutical companies have been concentrating on innovation and process advancement to enhance their skills in active pharmaceutical ingredients (APIs). This will lead to a decrease in the industry's reliance on imports.

Chetan Shah, the whole-time director and chief operating officer of Senores Pharmaceuticals, states that "India's API sector is experiencing a period of change due to increasing health challenges." The demand for vital medications stems directly from the increasing prevalence of illnesses such as Covid-19, cancers, and cardiovascular and neurological conditions.

Citing the Axis Securities report, he mentioned that in the second quarter of FY25, the sector overall has expanded by 10.2% year-on-year and 1.7% quarter-on-quarter (QoQ). Significant expansion has occurred in North America (10.8% YoY) and India (9.8% YoY).

Acknowledging that APIs play a vital role in the growth of pharmaceuticals, he emphasized that investing in research and development (R&D) and innovation is essential for effectively tackling emerging health threats. APIs are the glue that holds together drug production, and their continuous availability is essential for addressing the increasing demand.

India needs to educate more pharmaceutical graduates and enhance research and development-oriented training to increase API manufacturing. Fostering young researchers will improve the quality of domestic APIs, promoting self-sufficiency and creating a surplus for export, thereby reinforcing India's leadership in the global pharmaceutical sector.

The rising global health issues, heightened API manufacturing, and government regulations will keep bolstering the pharmaceutical sector. By concentrating on innovation, enhancing processes, and building manufacturing capabilities for APIs in India, the country will solidify its global position. Speeding up access to vital medications underpins a robust national health framework. Shah stated that this results in promising opportunities for economic growth via boosted exports and collaborations with international entities.