Incentives to promote API manufacturing in India: study

The urgent need to foster “Make in India for India” in Active Pharmaceutical Ingredient (API ) manufacturing to capitalize on the lost market share, reduce India’s dependency on China and establish self-sustainability, is highlighted by the ASSOCHAM (Associated Chambers of Commerce & Industry of India)-Sathguru joint study.

The Indian government has to take cognizance of this looming market erosion that calls for careful consideration of market economics and facilitate effective means of affordable healthcare access with the objective of retaining attractiveness of local markets for domestic players, the study reveals.

With the export appetite stealing all the limelight, the domestic market is underserved by incumbents and it is ironic that much of the API for the domestic market is contributed by low cost Chinese imports. As India continues to flourish in the formulations space, the potential that exists for local players in APIs is largely unaddressed.