Indian Pharmaceutical exporters facing intense competition from China, particularly in Bulk drugs sector
As per available information, Indian Pharmaceutical exporters are facing intense competition in international markets from China, particularly in Bulk drugs sector. Competition in formulations is also increasing gradually from China. India is also facing competition from Brazilian companies in Latin American Countries. Exports of India, China and Brazil for the last three years are given below:-
In US $ Millions
Source: UN COMTRADE
Government has already prepared strategies to double the pharma exports to USD 25 billion by 2013-14, including ‘Increase in the share of India’s Pharma exports to China’.
As per extant FDI policy, FDI, up to 100% under the automatic route, is permitted for Greenfield investments in the pharmaceuticals sector, while FDI, up to 100%, is permitted for brown field investments (i.e. investments in existing companies), in the pharmaceuticals sector, under the Government approval route.
This information was given by Shri Jyotiraditya M. Scindia, Minister of State for Commerce and Industry in written reply to a question in the Lok Sabha today