India CDMO Market to Grow with a CAGR of 13.60% through 2030

Skilled Workforce and Scientific Expertise and Increasing Demand for Biologics and Specialty Drugs are expected to drive the India CDMO Market growth in the forecast period, 2026-2030

According to TechSci Research report, “India CDMO Market – By Region, Competition, Forecast & Opportunities, 2030F”, the India CDMO Market stood at USD 17.51 Billion in 2024 and is anticipated to grow with a CAGR of 13.60% in the forecast period, 2026-2030.

India has emerged as one of the most cost-effective hubs for pharmaceutical manufacturing, offering a significant advantage in production and labor costs compared to developed markets. This cost efficiency, combined with the ability to scale production rapidly while maintaining high quality, positions Indian CDMOs as key partners for global pharmaceutical companies seeking large-scale manufacturing solutions.

Government initiatives, such as the Production Linked Incentive (PLI) scheme and support from the Biotechnology Industry Research Assistance Council (BIRAC), have played a pivotal role in attracting investment into pharmaceutical R&D and manufacturing. These policies foster innovation, encourage public-private partnerships, and reinforce India's standing as a global pharmaceutical powerhouse.

As pharmaceutical companies worldwide increasingly outsource drug development and manufacturing to streamline costs, reduce time-to-market, and focus on core areas like drug discovery, India’s comprehensive service offerings, spanning the entire drug lifecycle, make it the preferred outsourcing destination. Furthermore, the integration of advanced technologies like artificial intelligence (AI), machine learning (ML), and automation is transforming the Indian CDMO landscape, boosting operational efficiency, shortening production timelines, and enhancing product quality.

As environmental sustainability gains greater global focus, Indian CDMOs are also investing in green chemistry, waste management systems, and energy-efficient manufacturing processes, aligning with the expectations of international pharmaceutical companies and strengthening their position in global partnerships.

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The India CDMO Market is segmented into service type, application, end user, regional distribution, and company.

Based on its application, the Generic Drugs segment has emerged as the predominant market leader, India is the world’s largest producer of generic drugs, and this leadership extends into the CDMO sector. Indian pharmaceutical companies have built a reputation for delivering cost-effective, high-quality generic drugs to markets worldwide, particularly in the U.S. and Europe. The country’s regulatory compliance with international standards such as U.S. FDA and EU GMP certifications further strengthens its dominance.

Indian CDMOs benefit from lower production and labor costs, making them competitive global suppliers of generic drugs, which are typically sold at a lower price point than branded counterparts. India supplies over 40% of generics to the U.S. market, highlighting its crucial role in fulfilling the global demand for affordable medicines. The expiration of patents for major branded drugs has significantly contributed to the rise of generic drug production, which benefits Indian CDMOs. As patent exclusivity ends, Indian manufacturers step in to offer affordable alternatives, catering to an increasing demand for generics across the globe. With the ongoing wave of patent expirations, the demand for generics has skyrocketed. Indian CDMOs are well-positioned to capture this market with their established expertise in replicating branded formulations. As healthcare systems globally face rising drug costs, generics offer a cost-effective solution. India’s CDMOs have capitalized on this demand by producing high-quality generics that meet stringent regulatory requirements.

Major companies operating in India CDMO Market are:

• Cipla Limited
• Divi's Laboratories Limited
• Dr. Reddy’s Laboratories Ltd
• Piramal Pharma Limited
• Akums Drugs and Pharmaceuticals Ltd.
• Sunwin Healthcare Private Limited.
• Prakruti Life Science Pvt. Ltd

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“The India CDMO market stands poised for continued growth, driven by its cost-effective manufacturing capabilities, skilled workforce, robust regulatory compliance, and extensive infrastructure. As a global leader in the production of generics, coupled with expanding expertise in biologics and advanced drug technologies, India offers a comprehensive range of services that make it a preferred outsourcing destination for pharmaceutical companies worldwide. Government initiatives, technological advancements, and a commitment to sustainability further enhance India's position in the global pharmaceutical supply chain, ensuring its dominance as a key player in the Contract Development and Manufacturing Organization sector for years to come.,” said Mr. Karan Chechi, Research Director of TechSci Research, a research-based management consulting firm.

“India CDMO Market, By Service Type (API (Active Pharmaceutical Ingredients) Manufacturing, Finished Product Manufacturing, Packaging Services, Clinical Research Services (CRO), Laboratory Services), By Application (Generic Drugs, Branded Drugs, Biologics Drugs, Vaccines), By End User (Pharmaceutical Companies, Biotechnology Companies, Research Institutions), By Region, Competition, Forecast & Opportunities, 2020-2030F”, has evaluated the future growth potential of India CDMO Market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in India CDMO Market.

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