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Emerging markets across Africa, Latin America and Eastern Europe are expected to play a big role in India’s next phase of pharma export growth by reducing dependence on traditional markets and creating new opportunities for demand, says Joydeep Ghosh - partner at Deloitte Life Science and Healthcare Lead for South Asia.
He further adds that rising healthcare needs, limited local manufacturing capacity, and growing demand for affordable, high-quality medicines are making these regions increasingly attractive for Indian companies.
Africa offers significant potential, importing nearly 70% of its medicines and over 95% of its APIs, while Latin American markets such as Brazil, Peru and Chile are witnessing stronger demand for generics, APIs and vaccines. At the same time, Eastern European countries are looking to diversify supply chains. These trends align well with India’s strengths in manufacturing scale, quality compliance and cost competitiveness. As a result, these emerging markets are likely to become important contributors to India’s long-term export growth story.
Ghosh informs that optimism around FY27 stems from India’s pharma growth drivers becoming broader and more resilient, with most CXOs expecting 5–15% growth, according to Deloitte India’s Indian Pharmaceutical Industry Survey: FY27 Outlook. Exports remain a key growth engine, supported by India’s presence across 190+ countries and a strong manufacturing base. At the same time, the upcoming global patent cliff is creating new opportunities in generics, biologics and biosimilars. This is encouraging companies to increase investments in speciality therapies, R&D and advanced manufacturing capabilities to move up the value chain. Digital technologies are improving efficiency, quality and innovation across the industry. Combined, these factors are enhancing the sector’s ability to withstand regulatory, pricing and supply chain challenges while keeping the growth momentum going.
By expanding its footprint in high-growth emerging markets, India can shift some of its dependence on traditional pharma export markets, namely the US (which accounted for 30.4% of India’s pharma exports in FY26). Emerging export trends suggest that this diversification is already gaining momentum. Exports to the Philippines and Brazil nearly doubled from June 2025 to June 2026, growing by 87.9% and 83.8% respectively, driven by strong demand for affordable generic medicines. Similarly, in African markets, Kenya had a strong growth of 39.7%, whereas Nigeria grew by 18.2% during the same period.
He further explains that this diversification can reduce exposure to pricing pressures, regulatory changes and market specific disruptions in mature markets such as the US and Europe, while allowing companies to tap into rising healthcare demand across faster-growing economies. However, unlocking this opportunity will require more than market expansion. Companies will need stronger local regulatory capabilities, region-specific product portfolios, reliable distribution partnerships and internationally recognised certifications. Supportive measures such as regulatory harmonisation, mutual recognition agreements and streamlined approvals will also be critical. Together, these efforts can help India build a more diversified, resilient and sustainable pharma export footprint.
Ghosh explains, “Biologics and biosimilars are emerging as the next major growth engine for Indian pharma, driven by rising demand for advanced therapies and a wave of patent expires in blockbuster biologic drugs. With biologic drugs expected to lose patent exclusivity by 2030, the opportunity for biosimilars is substantial. Indian companies are gearing up to tap this opportunity by increasing their presence in complex therapies and enhancing their biologics capabilities. India is well placed to become a leading global supplier of affordable biologic medicines with initiatives like the Rs. 10,000 crore Biopharma SHAKTI programme. As healthcare systems seek greater access to cutting-edge treatments, biologics and biosimilars could power the next wave of industry growth.”
“India can balance cost competitiveness with innovation by leveraging its manufacturing strengths while continuously improving productivity and quality. As one of the world’s leading suppliers of generic medicines, the industry already benefits from scale, operational efficiency and cost-effective production. The next phase of growth will require companies to reinvest these advantages into innovation through greater adoption of automation, digital technologies and targeted R&D. This approach enables firms to remain competitive in existing markets while expanding into higher-value therapies and new geographies. Ultimately, companies that successfully combine manufacturing excellence with innovation will be best positioned to sustain long-term growth and global competitiveness,” Ghosh concludes.
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