India Accelerates Pharma Self-Reliance with R&D, PLI and Jan Aushadhi Push

India is rapidly transforming its pharmaceutical sector to align with the vision of Atmanirbhar Bharat, with the Government implementing a suite of targeted schemes aimed at promoting domestic innovation, manufacturing self-reliance, research excellence, and equitable access to affordable medicines. This comprehensive update was provided by Union Minister of State for Chemicals and Fertilizers, Smt. Anupriya Patel, in a written reply to the Rajya Sabha on July 22, 2025.

1. Promotion of Research and Innovation in Pharma MedTech (PRIP) Scheme

Launched with an ambitious ₹5,000 crore outlay, the PRIP Scheme is the government’s flagship initiative to shift the Indian pharmaceutical and medical devices sector from cost-based to innovation-driven growth. The scheme is being implemented through two primary components:

a) Seven Centres of Excellence (CoEs) at NIPERs

With ₹700 crore in budgetary support, seven CoEs have been established at the National Institutes of Pharmaceutical Education and Research (NIPERs). These centers focus on key R&D areas:

• Antiviral and antibacterial drug development

• Medical devices and diagnostics

• Bulk drugs manufacturing technologies

• Flow chemistry and continuous production

• Novel drug delivery systems

• Phytopharmaceuticals

• Biological therapeutics

So far, these CoEs have approved 104 R&D projects and filed two patents, supporting industry-academia collaboration and cutting-edge pharmaceutical research.

b) Industry and Start-Up Support

The scheme reserves ₹4,250 crore to support industry and start-ups, including joint projects with academic institutions. The aim is to foster translational research in priority areas to bridge the gap between lab and market.

2. Production Linked Incentive (PLI) Scheme for Pharmaceuticals

The PLI Scheme for Pharmaceuticals is designed to boost manufacturing capacity and increase high-value product exports. The scheme incentivizes:

• Biopharmaceuticals

• Complex generics

• Patented and patent-expiring drugs

• Anti-cancer and autoimmune medicines

• APIs and drug intermediates

As of March 2025, the scheme has:

• ₹37,306 crore in cumulative investment (exceeding the ₹17,275 crore target)

• ₹2.66 lakh crore in cumulative sales of approved products

• ₹1.7 lakh crore in exports

• On track to surpass the full six-year sales target of ₹2.94 lakh crore in just four years

3. PLI Scheme for Bulk Drugs (APIs/KSMs/DIs)

To reduce import dependence on critical Active Pharmaceutical Ingredients (APIs), Key Starting Materials (KSMs) and Drug Intermediates (DIs), the government launched this PLI scheme. By March 2025:

• ₹4,570 crore invested (surpassing the ₹3,938.5 crore target)

• Production capacity created for 25 essential bulk drugs

This scheme plays a crucial role in insulating India from global supply chain shocks and enabling domestic production of life-saving drugs.

4. Bulk Drug Parks Scheme

Three mega Bulk Drug Parks have been approved in:

• Andhra Pradesh

• Gujarat

• Himachal Pradesh

These are being developed with a total project cost exceeding ₹6,300 crore, each supported with ₹1,000 crore in Central assistance. The parks offer:

• Subsidized land and utilities

• Centralized effluent treatment

• Common testing and warehousing facilities

States are providing additional fiscal incentives, such as:

• Capital and interest subsidies

• SGST reimbursements

• Exemptions from stamp duties and registration fees

The integrated parks will drastically reduce production costs, support MSMEs, and attract investment.

5. Strengthening of Pharmaceutical Industry Scheme

The scheme comprises two major sub-components:

a) Assistance to Pharmaceutical Industry for Common Facilities (API-CF)

Supports the creation of common R&D and testing infrastructure in pharma clusters. So far:

• Projects worth ₹139.33 crore approved

• Facilities expected to benefit 1,300+ pharmaceutical units

This will improve shared access to quality labs, training centers, and environmental infrastructure.

b) Revamped Pharmaceutical Technology Upgradation Assistance Scheme (RPTUAS)

Targets small and medium pharma firms (turnover < ₹500 crore), helping them upgrade to:

• WHO-GMP standards

• Revised Schedule M of Drugs Rules, 1945

As of 1 July 2025:

• 142 MSMEs supported

• ₹135.84 crore sanctioned for upgradation

6. Pharma Export Boom and Global Presence

As a result of these interventions:

• Pharmaceutical exports grew by 92% from ₹1.28 lakh crore in FY2018-19 to ₹2.46 lakh crore in FY2024-25

• India continues to be the “Pharmacy of the World”, supplying affordable generics to over 200 countries

7. Affordable Medicines through Jan Aushadhi Scheme

The Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) ensures access to quality generic medicines at affordable prices. As of 30 June 2025:

• 16,912 Jan Aushadhi Kendras operational

• 10–12 lakh footfalls daily

• Medicines sold 50% to 80% cheaper than branded equivalents

• Basket includes 2,110 medicines and 315 surgical items across all major therapeutic areas

• Citizens saved ₹38,000 crore in medicine costs over 11 years

• Created employment for 16,000+ entrepreneurs, including 6,800+ women

India’s Pharma Future: Innovation, Resilience, Equity

From cutting-edge R&D hubs and robust manufacturing ecosystems to grassroots-level affordable medicine distribution, India is crafting a comprehensive and resilient pharmaceutical framework. Through its layered approach, the government is not only reducing import dependence and enhancing export readiness but also ensuring healthcare equity through accessible generics.

With rising global demand and a thriving innovation ecosystem, India is poised to consolidate its leadership as a global pharmaceutical hub powered by science, self-reliance, and social equity.