India's Pharma exports up by 29% in 2008-09

16 Apr 2014 , 05:54 AM

Anand Sharma, Union Minister of Commerce and Industry, while addressing the Indo-Africa Pharma Business Meet in Hyderabad today, has stated that the exports of drugs, pharmaceuticals and fine chemicals for the year 2008-09 stood at Rs395.38bn (around US$9.35bn), registering a growth of about 29% over the last year.

“In recent times the Indian pharmaceutical sector has emerged as one of the major contributors to Indian exports with export earnings rising from a negligible amount in early 1990s to Rs291.39bn (US$7.24bn) by 2007-08. The exports of Drugs, pharmaceuticals & fine chemicals of India have grown at a compounded annual growth rate of 17.8% during the five-year period 2003-04 to 2007-08”, the Minister added.

Sharma also distributed the awards to the leading exporters of the pharma sector. Chief Minister of Andhra Pradesh, K. Rosaiah, was also present as the Guest of Honour at this function. The Minister also announced the Government of India’s decision to establish National institute of Design in Hyderabad as a mark of respect to the departed Chief Minister Y.S. Rajshekhar Reddy.

Speaking on the occasion, Sharma stated that in generic medicines sector i.e., tablets and capsules, injectables and infusion, oral solutions, ointments and creams, Indian companies have established their lead in most of the markets including Africa.

He further added that the growing export of India in African countries has started causing concern in multinational companies who have started a campaign as Indian generic medicines being counterfeit and substandard. Recognizing the contribution of Indian pharmaceutical industry in exports of the country, Anand Sharma informed that several benefits have been extended to the industry in the Foreign Trade Policy announced recently — viz., (i) Additional resources have been made available under the Market Development Assistance Scheme and Market Access Initiative Scheme.

PHARMEXCIL, the Export Promotion Council has been provided funds for Brand Promotion of Indian pharmaceutical industry in Africa under MAI Scheme. (ii) Incentive available under Focus Market Scheme has been raised from 2.5% to 3%. Pharma sector will also benefit with this. (iii) Incentive under Focus Product Scheme has been raised from 1.25% to 2%. (iv) Pharmaceutical has been included in Market linked Focus Product Scheme. Thus exports to Algeria, Egypt, Kenya, Nigeria, South Africa and Tanzania will be eligible for benefit under this Scheme.

(v) Zero duty has been introduced under EPCG Scheme for aiding technological upgradation for pharma sector also. The 3-day (25-27 September) Meet is being attended by Drug Regulatory Authorities from African countries, viz., South Africa, Kenya, Nigeria, Ghana, Zambia and Uganda along with the Health Minister of Kenya and DG-NAFDAC, Nigeria. During the event, apart from Buyer-Seller Meet, Drug Controller General of India will make a presentation on Drug Regulation Mechanism in India before the Drug Regulators of African countries