India’s pharma exports grew 6.8% in Q1 FY27: Pharmexcil

India’s pharmaceutical exports rose 6.8% to $8.1 billion in April-June FY27, with the US remaining the top market, Pharmexcil data showed.

India’s pharmaceutical exports grew by 6.8% to USD 8.10 billion during April–June financial year (FY) 2026-27, compared with USD 7.58 billion in the corresponding period of the previous financial year, despite recent concerns that US tariffs might negatively impact India’s pharma exports.

India’s pharma exports grew 6.8% to $8.1 billion in Q1 FY27 despite concerns over US tariffs, with vaccines and bulk drugs driving growth.

The growth indicates the continued strength of India’s pharmaceutical exports in global markets, said the Pharmaceuticals Export Promotion Council of India (Pharmexcil), which released the export data on Wednesday.

Pharmexcil is the authorised export promotion council for the pharmaceutical and healthcare sector under the Union Ministry of Commerce and Industry. It works to promote exports of pharmaceuticals, bulk drugs, drug intermediates, formulations, vaccines, biologicals, herbal products, nutraceuticals, surgical products and other healthcare products from India.

“Export momentum strengthened further in June FY27, with pharmaceutical shipments increasing by 7.13% to USD 2.81 billion, compared with USD 2.62 billion in June FY26. June exports were also 6.86% higher than the USD 2.63 billion recorded in May FY27, indicating sustained month-on-month momentum and a positive start to the financial year,” said the council in a statement.

“The category recorded a growth of 4.14% over the corresponding period last year and continued to dominate India’s pharmaceutical exports. Similarly, bulk drugs and drug intermediates, the second-largest export category, grew by 13.84% to USD 1.36 billion, while vaccine exports emerged as the fastest-growing segment, rising by 35.68% to USD 0.39 billion. Meanwhile, exports of surgical products also registered healthy growth of 11.95% to USD 0.21 billion during the quarter,” it added.

The broad-based growth across product categories reflects sustained global demand for affordable generic medicines, increasing procurement from regulated and emerging markets, and India’s growing strength as a pharmaceutical manufacturing and export hub, said the council. The performance also highlights the country’s diversified export portfolio, with multiple product segments contributing to overall export growth, it added.

In terms of region-wise exports, NAFTA (North American Free Trade Agreement), Europe, Africa, and Latin America and the Caribbean (LAC) continued to be the key destinations for India’s pharmaceutical exports during the quarter, collectively accounting for nearly 75% of the country’s total pharmaceutical exports, the data showed.

“This reflects the continued strength of Indian pharmaceutical products across both mature and emerging markets. Among these regions, NAFTA remained the largest export market, contributing 34.28% of India’s overall pharmaceutical exports, underlining its strategic importance for the industry.”

By country-wise export share, the United States remained India’s largest pharmaceutical export destination during April–June FY27, followed by Brazil, the United Kingdom, the Netherlands, and France. The list includes both developed and emerging markets, indicating the geographical spread of India’s pharmaceutical exports. During the quarter, the top 25 export destinations together accounted for nearly 70% of India’s pharmaceutical exports, with shipments valued at USD 5.65 billion. Exports to these 25 countries recorded year-on-year growth of 5.50% during April–June FY27.

“India’s pharmaceutical export performance demonstrates that the sector continues to combine scale in established markets with growing momentum across a wider set of geographies,” chairman of Pharmexcil Namit Joshi said.

He added that The United States remained India’s largest export destination, with shipments valued at USD 2.50 billion and a 30.89% share, while the strong performance of Brazil, the Netherlands, France and several emerging markets reflects the expanding global footprint of Indian pharmaceutical companies.

The double-digit growth recorded across Europe, Africa, Latin America, ASEAN and South Asia is particularly important in the present global trade environment. India must continue consolidating its leadership in generics while building a stronger presence in complex generics, biosimilars, peptides and other innovation-led segments. Our ability to combine quality, regulatory credibility, manufacturing scale and market diversification will determine the strength of India’s next phase of pharmaceutical export growth,” said Joshi.

Bhavin Mehta, vice chairman, Pharmexcil, added, “The growth recorded across vaccines, bulk drugs and drug intermediates reflects the increasing depth of India’s capabilities across the pharmaceutical value chain. Vaccine exports increased by 35.68%, while bulk drugs and drug intermediates grew by 13.84% during the quarter. Sustaining this momentum will require continued investments in advanced manufacturing, stronger quality systems, specialised production capabilities and regulatory preparedness. It will also be important to enable Indian MSMEs to upgrade their capabilities, meet international compliance requirements and participate more meaningfully in regulated and emerging global markets.”

With exports registering steady growth across product categories, regions and key markets, the performance during the first quarter of FY27 reflects continued demand for Indian pharmaceutical products in global markets, they said. Going forward, sustained focus on product diversification, regulatory compliance, market expansion and manufacturing capabilities will remain important to maintaining the growth momentum, they added.