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 The Pharmaceuticals Export Promotion Council of India (Pharmexcil) has asked the pharma exporters to provide information on payment defaults from overseas buyers to facilitate development of a Standard Operating Procedure (SOP).
This SOP aims to streamline the process of addressing payment-related grievances and enhance government’s ability to intervene constructively.
Pharmexcil is initiating the development of an SOP in collaboration with Indian Missions abroad/ Export Credit Guarantee Corporation of India Ltd. (ECGC)/Directorate General of Foreign Trade (DGFT) and reputed payment collection agencies.
According to K Raja Bhanu, director general (DG), Pharmexcil, “It has been observed that in certain cases, exporters face challenges related to delayed payments or non-receipt of dues from overseas buyers. These issues not only disrupt cash flows but also pose significant hurdles to seamless export operations.”
Bhanu further added, “While member companies often approach Pharmexcil for assistance in resolving such matters, we wish to reiterate that as an Export Promotion Council (EPC), our role is primarily facilitative. We do not possess statutory authority to enforce payment recovery. Nevertheless, we are committed to exploring structured mechanisms to support our members more effectively. Similarly, Council is also in receipt of complaints from overseas buyers on payment default by India side, which would also be considered for ensuring seamless trade.”
In this regard, Pharmexcil has urged member exporters to share certain details in any cases of payment default or undue delay that have been encountered. The details include name and contact details of the overseas buyer, country of transaction, invoice value and date, payment terms agreed upon, nature of default (delay, partial payment, non-payment) and any communication or documentation related to the dispute.
“The details have to be mailed to dgdesk@pharmexcil.com by October 10, 2025. This data will be treated with strict confidentiality and used solely for the purpose of designing the SOP and engaging with relevant authorities. Inputs from concerned exporters will be invaluable in helping Pharmexcil advocate more effectively on their behalf and build a robust framework for payment redressal,” Bhanu informed.
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