Pharmaceutical Brochure
Pharmaceutical Brochure
r : i::: INDUSTRY IN UP
INVESTORS SUMMrr 2018
21-22 February
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SCENARIO IN INDIA
The Indian pharmaceutical industry is robust and thriving. The industry has witnessed robust growth,
registering a growth of 29% in FY 2015-16.
Profit After Tax of Indian Drugs & Pharmaceutical Industry (in INR Crores)
Source: Annual Plan (2016-17), Department of Pharmaceu cals, Ministry of Chemicals & Fer lizers
The Indian Pharmaceutical sector is largely fuelled by exports and is the 3rd largest foreign exchange earner
for India. In 2015-16, the exports of Drugs, Pharmaceuticals and Fine Chemicals amounted to INR 1,09,770
Crores in India. India exports medicines to nearly more than 220 nations across the globe.
100% FDI has been allowed through automatic route for Greenfield pharmaceuticals projects, and 74% FDI
has been allowed through automatic route for Brownfield pharma projects making the Pharmaceutical
industry as the most attractive sector for investments. The sector attracted FDI worth INR 77.631 Cr between
April 2000 and June 2017, which was 4% of total FDI inflows in India.
ADVANTAGE UTTAR PRADESH
Uttar Pradesh is access to country’s 4th largest state, and 3rd largest economy. Home to 16.5% of India’s
population, Uttar Pradesh is amongst the top 5 manufacturing states and has 2nd highest number of MSME
units. 13.26% growth in exports (CAGR) recorded in the state in last 5 years (2012-17). With the highest
population among all Indian states, Uttar Pradesh offers to be the biggest market for pharmaceuticals.
a. Infrastructure Advantage
Location Advantage
Ÿ Located on Golden Quadrilateral with excellent road network
Ÿ Access to National Capital Region on the west
Ÿ Strategic access to market & resource depth of eastern India
Ÿ Largest railway network in the country spanning over 8,949 km
Connectivity
Ÿ Major national & international airports connecting the rest of India,
Middle East & South East Asian countries.
Ÿ Two upcoming international airports at Jewar & Kushinagar
Ÿ Proposed NW-1 connecting Allahabad to Haldia port
Industrial Corridors
Ÿ 8.5% of DMIC catchment area and 57% of AKIC in UP
Ÿ Intersection of WDFC and EDFC at Greater Noida
Ÿ Multi-modal logistic hubs, industrial parks etc. to benefit from reduced
travel time to ports
The existing logistics infrastructure in Uttar Pradesh includes Moradabad rail linked combined domestic and
EXIM terminal, Rail linked Pvt Freight Terminal and Inland Container Depot in Kanpur, ICD at Dadri Terminal,
ICD at Kanpur etc. Besides these, multi modal logistics/ transport hubs are also proposed at Noida, Boraki and
Varanasi.
The connectivity web of the state including existing and upcoming expressways like Poorvanchal Expressway,
Bundelkhand Expressway, Lucknow- Agra Expressway etc.; 4 lane and 6 lane state highways; national and
international airports; NW 1 waterways connecting Allahabad, Varanasi and Haldia sea port etc., is expected
to create a web of air, water, road and rail network that will help the state’s industries and manufacturing
units. The Multi-city metro rail projects, coming up at Lucknow, Kanpur, Meerut and Varanasi, and upcoming
international airport at Jewar and Kushinagar are also expected strength to State’s connectivity advantage.
b. Raw Material base and growing Industry
The State has 2nd highest number of MSME’s in the country and has a considerable chemical and medicinal
raw material base. There are several pharmaceutical units in the State, of which majority are into formulation,
mostly located in the Western region of the state in Ghaziabad, Gautambuddha Nagar, and in Lucknow,
Kanpur.
Ÿ Uttar Pradesh has nearly 17% market share of national sale in terms of value, with a turnover of about INR
90,000 crore in pharma sector (2014-15).
Ÿ There are about 76000 pharmacists and 71,000 retail pharmacies in U.P.
The industrial panorama in the state is encouraging and reflects potential for considerable growth in the
pharma sector.