Indian drugs and vaccines, which, as many of us know, have been part of the international healthcare landscape for a long time now, even before the Covid-19 pandemic, But while the Covid-19 emergency is over, there are many other global storms that continue to rage over trade, big geopolitical challenges, supply chain issues, quality issues, and so on.
In this episode of the State of the Economy podcast, businessline’s PT Jyothi Datta is joined by Ravi Udaya Bhaskar, the Director General of the Pharmaceuticals Export Promotion Council of India (Pharmexcil). They discuss the state of Indian drugs and vaccines in the international healthcare landscape and their ongoing challenges.
Bhaskar explains that despite falling short of the $27 billion target, India's pharmaceutical exports reached $25.4 billion in the previous year, with the largest export destinations being NAFTA, Europe, the US, and Africa. While Africa and the CIS regions experienced negative growth, Europe saw a 13.5 per cent increase, and the US recorded a 6.8 per cent growth rate.
However, there are challenges posed by global trade issues, such as strained US-China relations, but we remain optimistic about reaching the ambitious $28 billion target for the coming year.
Regarding recent concerns about contaminated cough syrups and other quality issues, Bhaskar emphasises that human involvement in the manufacturing process poses challenges for India's vast pharmaceutical industry. He believes that stricter adherence to good manufacturing practices (GMP) and upgraded systems are crucial. While recent guidelines and measures like testing before exports and traceability initiatives have been introduced, focusing on the root causes and holding manufacturers accountable will be more effective in maintaining quality standards, adds Bhaskar.
Talking about the trend of regionalisation and vaccine manufacturing, Bhaskar acknowledges the growing sentiment of countries wanting to prioritise their own populations during crises.
While localisation is important, trade and exports should not be disregarded, and countries should strive for a balance between regionalisation and global supply, says Bhaskar. Listen in.
(Host: PT Jyothi Datta, Producer: Nabodita Ganguly)
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About the State of the Economy podcast
India’s economy has been hailed as a bright spot amid the general gloom that seems to have enveloped the rest of the world. But several sectors continue to stutter even as others seem set to fire on all cylinders. To help you make sense of the bundle of contradictions that the country is, businessline brings you podcasts with experts ranging from finance and marketing to technology and start-ups.
