By: IPP Bureau
Last updated : August 12, 2026 12:09 pm
Drug formulations and biologicals remained the largest export category, contributing USD 5.98 billion and accounting for 73.85% of total pharmaceutical exports
India’s pharmaceutical exports grew 6.80% year-on-year to USD 8.10 billion during April–June FY2026-27, compared with USD 7.58 billion in the corresponding period of FY2025-26, according to data released by the Pharmaceuticals Export Promotion Council of India (Pharmexcil).
Export momentum strengthened in June, with pharmaceutical shipments rising 7.13% to USD 2.81 billion, compared with USD 2.62 billion in June 2025. June exports were also 6.86% higher than the USD 2.63 billion recorded in May 2026, signalling sustained momentum in the opening quarter of FY27.
Drug formulations and biologicals remained the largest export category, contributing USD 5.98 billion and accounting for 73.85% of total pharmaceutical exports.
The segment grew 4.14% year-on-year. Bulk drugs and drug intermediates, the second-largest category, recorded 13.84% growth to USD 1.36 billion.
Vaccines emerged as the fastest-growing major segment, with exports increasing 35.68% to USD 0.39 billion. Surgical products also recorded healthy growth of 11.95%, reaching USD 0.21 billion during the quarter.
The broad-based performance reflects continued global demand for affordable generic medicines, alongside India's expanding capabilities across regulated and emerging markets. Growth across multiple product categories also highlights the diversification of India's pharmaceutical export base.
Regionally, NAFTA, Europe, Africa and Latin America & the Caribbean (LAC) remained the principal destinations, together accounting for nearly 75% of India's pharmaceutical exports. NAFTA continued to be the largest regional market, representing 34.28% of total exports.
The United States remained India's largest individual pharmaceutical export destination during April–June FY27, followed by Brazil, the United Kingdom, the Netherlands and France. The top 25 export destinations accounted for nearly 70% of India's pharmaceutical exports, with shipments valued at USD 5.65 billion. Exports to these markets grew 5.50% year-on-year during the quarter.
According to Namit Joshi, Chairman, Pharmexcil, the performance demonstrates India's ability to combine scale in established markets with growing opportunities across a broader geographic footprint. The United States accounted for USD 2.50 billion, or 30.89%, of India's pharmaceutical exports during the quarter.
“India must continue consolidating its leadership in generics while building a stronger presence in complex generics, biosimilars, peptides and other innovation-led segments,” Joshi said, adding that quality, regulatory credibility, manufacturing scale and market diversification would be critical to the next phase of export growth.
Bhavin Mehta, Vice Chairman, Pharmexcil, said the growth in vaccines, bulk drugs and drug intermediates reflects the increasing depth of India's pharmaceutical value chain. He highlighted the need for continued investment in advanced manufacturing, quality systems, specialised production capabilities and regulatory preparedness.