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India Active Pharmaceutical Ingredients Market Is Estimated To Witness High Growth Owing To Increasing Generic Drug Production And Rising Demand For APIs in Drug Development

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Ben Wood
India Active Pharmaceutical Ingredients Market Is Estimated To Witness High Growth Owing To Increasing Generic Drug Production And Rising Demand For APIs in Drug Development


The India active pharmaceutical ingredients market is estimated to be valued at US$ 19,993.2 million in 2021 and is expected to exhibit a CAGR of 8.3% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

The India active pharmaceutical ingredients market encompasses the manufacturing and supply of pharmaceutical raw materials used in the production of drugs. The market is driven by the increasing production of generic drugs and the rising demand for APIs in drug development. With India being a major supplier of generic drugs globally, the demand for APIs has witnessed substantial growth. The domestic pharmaceutical industry in India is also expanding, leading to increased API production. The market presents numerous growth opportunities for API manufacturers, with the potential for export to other countries.

Market Dynamics:

The India active pharmaceutical ingredients market is driven by two key factors: the increasing production of generic drugs and the rising demand for APIs in drug development. Generic drugs are affordable alternatives to branded medicines and are gaining popularity due to cost-effectiveness. This is driving the production of generic drugs, which, in turn, fuels the demand for APIs. Additionally, there has been a significant increase in the number of drug development projects, both by domestic and international pharmaceutical companies in India. This has created a substantial demand for APIs for the development of new drugs and formulations. With a favorable regulatory environment and a robust healthcare infrastructure, the Indian API market is poised for rapid growth.

SWOT Analysis:

Strength: India's active pharmaceutical ingredients (API) market has a strong domestic manufacturing base, with a wide range of API production capabilities. The country benefits from a large pool of skilled and knowledgeable workforce, leading to cost-efficient production. Furthermore, the presence of numerous top domestic API manufacturers enhances the industry's strength.

Weakness: One of the weaknesses of the India API market is the increasing regulatory scrutiny and stringent quality regulations imposed by international authorities. This poses a challenge for Indian manufacturers to comply with international standards. Additionally, the dependence on imported raw materials for API production may lead to supply chain vulnerabilities.

Opportunity: The India API market has significant growth opportunities due to the rising demand for generic drugs globally. The patent expirations of several blockbuster drugs create a favorable environment for Indian API manufacturers to increase their exports. Additionally, the increasing focus on research and development activities in the pharmaceutical sector presents opportunities for the development of innovative APIs.

Threats: The India API market could face threats from increasing competition from other low-cost manufacturing countries, such as China. The Chinese API manufacturers have a cost advantage and supply chain effectiveness, which could pose a challenge to Indian manufacturers. Additionally, the volatility in raw material prices and fluctuations in currency exchange rates can impact the cost competitiveness of the Indian API market.

Key Takeaways:

The global India active pharmaceutical ingredients market is expected to witness high growth, exhibiting a CAGR of 8.3% over the forecast period of 2023-2030, driven by increasing demand for generic drugs and the presence of a strong domestic manufacturing base. In terms of regional analysis, India is the fastest-growing and dominating region in the global API market. The country's large population base, the presence of top API manufacturers, and supportive government initiatives contribute to its dominant position. Key players operating in the India API market include Teva Pharmaceutical Industries Ltd., Solara, Aurobindo Pharma Limited, Dr. Reddy's Laboratories, Lupin Limited, and Sun Pharmaceutical Industries Limited, among others.

Read More:

https://www.dailyprbulletin.com/india-active-pharmaceutical-ingredients-api-market-shaping-the-future-of-the-healthcare-industry/

 

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