Pharma sector on track for 7-9% growth in FY26
India's pharma industry is expected to grow 7-9% in FY26, powered by strong demand at home and in Europe—even as things slow down a bit in the US.
The domestic market should see 8-10% growth, helped by more sales teams reaching rural areas and new medicines hitting the shelves.
Strong start to the year, with chronic therapies leading
Indian pharma firms kicked off FY26 with a healthy 10.3% year-on-year jump in Q1 sales, after an 11.6% rise last year.
Chronic therapies, new product introductions, and price hikes did most of the heavy lifting.
Europe's market is also on track for another big year, with 10-12% growth expected after last year's sharp 18.9% jump.
US growth slowing; firms investing in R&D
Growth in the US—a major revenue source—is slowing to around 3-5%, due to regulatory scrutiny by the USFDA and pricing pressures.
To keep up globally, Indian companies are investing more in R&D and focusing on complex molecules and speciality products.
For now, they're safe from new US tariffs, but proposed pricing changes could bring fresh challenges ahead.