India's API Exports Exceed Imports in FY25, Reaching ₹41,500 Crore

India's active pharmaceutical ingredient (API) exports reached ₹41,500 crore in FY25, surpassing imports of ₹39,215 crore, as announced by Minister J P Nadda. Despite increased imports from China, overall exports exceeded imports. The government's Production Linked Incentive (PLI) scheme, with an outlay of ₹6,940 crore, aims to boost domestic API manufacturing, reduce import dependence, and achieve self-reliance. This scheme has already established significant production capacity, generated sales, avoided imports, and created jobs.

India's active pharmaceutical ingredient (API) exports have significantly outpaced imports in the last fiscal year (FY25), reaching approximately ₹41,500 crore compared to imports totaling ₹39,215 crore. Chemicals and Fertilizers Minister J P Nadda confirmed this in Rajya Sabha, emphasizing the government's concerted efforts over the past 11 years to bolster domestic production and curtail import reliance. While overall imports of APIs have shown an upward trend, rising from ₹36,229 crore in 2022-23 to ₹39,214 crore in 2024-25, and China's share in these imports increased from 70 percent to 74 percent, the minister highlighted that India's export figures clearly demonstrate a surplus.To address import dependence, particularly on China, the Centre has launched a Production Linked Incentive (PLI) scheme with an outlay of ₹6,940 crore. This initiative aims to promote the indigenous manufacturing of key starting materials (KSMs), drug intermediates, and APIs. Complementary measures such as anti-dumping duties and minimum import prices have also been implemented to stabilize the market. The PLI scheme has already shown tangible results, establishing domestic manufacturing capacity of about 56,800 tonnes per annum for 28 out of 41 critical products. By December 2025, the scheme reported cumulative sales of ₹2,720 crore, including exports of ₹527.96 crore, effectively avoiding imports worth ₹2,192.04 crore. Furthermore, it has generated employment for 4,896 individuals, underscoring the government's commitment to achieving self-reliance in the vital pharmaceutical sector.