Daijiworld Media Network – New Delhi

New Delhi, Apr 18: Indian pharmaceutical companies are intensifying their push into the rapidly expanding US oncology generics market, now valued at $145 billion and growing at 11% annually, a new report reveals.

Several Indian drugmakers have recently secured approvals from the US Food and Drug Administration (FDA) for generic cancer medications, marking a rise in complex generics and biosimilars entering the US market. With oncology emerging as a high-growth therapy area globally, Indian firms are leveraging affordable manufacturing, technical expertise, and growing regulatory approvals to gain a competitive edge.

“This represents a shift in India’s pharma sector from basic generics to complex formulations showcasing its evolving capabilities,” said an industry expert.

The global push aligns with strong foreign investment trends. Between April and December 2024, India’s pharmaceutical and medical devices sector attracted Rs 11,888 cr in foreign direct investment (FDI). In FY25, 13 brownfield projects worth Rs 7,246.4 cr were approved, taking total FDI to Rs 19,134.4 cr.

A major driver behind this momentum is the government’s Production Linked Incentive (PLI) Scheme, launched in 2021 with an outlay of Rs 15,000 cr. The scheme targets high-value products like complex generics, biopharmaceuticals, and anti-cancer drugs, aiming to reduce import dependency and boost exports.

The initiative has already exceeded its investment target. Against a commitment of Rs 3,938.57 cr, actual investments touched Rs 4,253.92 cr by end-2024. Key projects include a Penicillin G unit in Andhra Pradesh and a Clavulanic Acid facility in Himachal Pradesh — both expected to significantly reduce import costs and bolster domestic capabilities.