India still heavily reliant on China for life saving drugs despite PLI booster

India is often referred to as the Pharmacy of the World due to its significant role in producing generic medicines. However, a substantial portion of the active pharmaceutical ingredients (APIs) used in drug manufacturing is still sourced from China. This vulnerability came into sharp focus during the COVID-19 pandemic when disruptions in the supply chain exposed India’s dependence on Chinese APIs, leading to shortages of essential medicines.
The PLI scheme was introduced as a solution to this problem, offering financial incentives to pharmaceutical companies to enhance domestic production. While it has spurred investments and production capacity expansion, the complete shift away from Chinese imports has not yet materialized. Factors such as cost-effectiveness, established supply chains, and regulatory challenges have slowed down the process.Source:- et telecomSeveral reasons contribute to India’s continued reliance on China for APIs. China’s ability to produce APIs at a lower cost, coupled with its robust infrastructure, has made it an attractive source for Indian pharmaceutical companies. Additionally, the transition to manufacturing APIs domestically involves substantial investments in research, development, and infrastructure, which takes time.India’s pharmaceutical industry is a complex ecosystem, and transitioning away from Chinese APIs requires a multi-pronged approach. This includes not only strengthening domestic manufacturing but also fostering innovation, streamlining regulatory processes, and supporting research and development.Source:- global news trend
The lesson from this ongoing reliance is that achieving self-sufficiency in critical sectors takes time and requires comprehensive planning and execution. The PLI scheme is undoubtedly a step in the right direction, but the transformation of India’s pharmaceutical supply chain will require sustained efforts and collaboration between the government, industry, and other stakeholders.In conclusion, India’s continued dependence on China for life-saving drugs despite the PLI scheme highlights the challenges of reducing such reliance in complex industries. While progress has been made, achieving full self-reliance requires a concerted and long-term effort that considers various economic, logistical, and regulatory aspects.Share your views in the comments