Over the last 20 years, China’s drug business has seen tremendous growth. Western drug companies have heavily relied on China for drug products, drug substances, R&D, clinical trials, etc. However, now with increased geo-political friction between the US and China, more Western drug companies are looking to India. India too has reduced its dependence on Chinese raw materials. Over the last few years, the Indian government has funded and incentivized over 40 new API factories in India.
While the drug shift from China to India will be slow, India is working hard to increase its oversight and improve quality issues to meet Western standards. Many Indian drug companies have seen increased interest and more RFPs from Western drug and biotech companies. For example, a large Indian drug manufacturer, Sai Life Sciences, has increased its drug manufacturing scope by 50% over the last 3 years with continuing growth expected. Other Indian drug contract manufacturers that have increased their scope to meet increased Western demand include – Piramal Pharma Solutions, Syngene, and Aragen Life Sciences.
Written by: Ames Gross – President and Founder, Pacific Bridge Medical (PBM)
Mr. Gross founded PBM in 1988 and has helped hundreds of medical companies with regulatory and business development issues in Asia. He is recognized nationally and internationally as a leader in the Asian medical markets. Mr. Gross has a BA degree, Phi Beta Kappa, from the University of Pennsylvania and an MBA from Columbia University.
Source used in the article: https://www.reuters.com/business/healthcare-pharmaceuticals/indian-drug-manufacturers-benefit-big-pharma-interest-beyond-china-2023-11-27/