Indian pharma industry eyes South American market, seeks greater access

As Global pharma majors are exiting South America post Covid, the Pharmaceuticals Export Promotion Council of India (Pharmexcil) is looking to promote Indian pharmaceutical exports in the LAC

A business delegation from India under the aegis of the commerce ministry visited South American nations like Colombia, Bolivia, Peru and Brazil to discuss a roadmap for greater access to Indian pharma companies in their respective markets, reported Livemint. 

The delegation visited the countries from 30 July-13 August to meet with the health ministries and regulatory agencies of these countries to further discuss the roadmap for greater market access to Indian pharmaceutical companies. 

As global pharma majors are exiting South America after coronavirus pandemic, the Pharmaceuticals Export Promotion Council of India (Pharmexcil) is looking to promote Indian pharmaceutical exports in the Latin American and Caribbean Region (LAC).

A preferential market access for drugs and pharmaceutical items in a $58 billion-strong South American market, will further strengthen India's position as a leading pharmaceutical supplier.

India’s exports to the Latin American countries recorded a compoud annual growth rate (CAGR) of 14.5 per cent, up from $869.96 million in FY-2017 to $1,707.67 million in FY-2022. The region is at fourth position when it comes to Indian pharma exports. 

Currently, North America is the largest market for Indian pharmaceuticals. Among LACs, India is the largest pharma supplier to Bolivia.

Covid-19 pandemic induced grave economic stress in most of the Latin American countries. Big pharmas and MNCs started exiting the region sighting heavy losses. However, Indian pharma export to Latin American countries remained unfazed by this. 

Indian pharma export to the South American countries grew by 18 per cent in last two years. In 2021, India’s pharmaceutical exports went up by 18.7 per cent to $24.44 billion, driven by strong demand for made in India generic drugs due to their affordability and quality.