“The ₹10,000-crore Biopharma Shakti programme will be a key enabler for India’s journey from volume to value leadership, helping the country move from being a global supplier of quality medicines to becoming a global innovator,’” K Satish Reddy, Chairman, Dr Reddy’s Laboratories told businessline.
The expansion of clinical trials network and strengthening of the CDSCO would also enhance India’s capacity to develop complex, high-value therapies,’’ he added.
The Union Budget lined up key measures – launch of a special initiative, the Biopharma Shakti, with an outlay of ₹10,000 crores for five years, setting up of three new biopharma-focused National Institutes of Pharmaceutical Education and Research (NIPER) along with upgrading 7 existing ones, and a network of 1000 accredited India Clinical Trials sites.
DECISIVE
According to Kiran Mazumdar-Shaw, Chairperson, Biocon Group, the Union Budget made a decisive investment in India’s health and innovation future by designating biopharma as one of the seven strategic frontier sectors and launching Biopharma Shakti.
“As India’s disease burden shifts toward cancer, diabetes, and autoimmune disorders, biologics and biosimilars will be central to improving longevity and quality of life,” she said.
“This initiative—spanning manufacturing scale-up, global-grade regulation, new NIPER institutions and a nationwide clinical trials network—can firmly position India as a global biopharma manufacturing hub,’’ she said.
A director of a Hyderabad-based listed drug-maker said while the move would definitely augur well for the industry, the size of the fund, which works out to be Rs 2,000 annually, could be on the lower side given the high R&D costs involved in biopharma.
IMPACT
While the industry experts broadly welcome the new initiatives, the exact impact on the industry depends on the fine print. “We look forward to studying the detailed budget to further understand its impact on the pharmaceutical sector,’’ Satich Reddy said.
R Uday Bhaskar, Director-General of All-India Drug Control Officers’ Confederation, and former DG of Pharmexil, said the spirit behind the idea of a fund should actually translate into speedy and efficient allocation to the companies with potential but lack the financial muscle.
“This is vital as the big players now are in a position to fund the programmes on their own. If properly grounded, the initiative will help diversifying our pharmaceutical exports and go beyond generics,’’ he added.
India is gradually emerging as a key player in biopharma, with majors such as Dr. Reddy’s Laboratories and Aurobindo Pharma already making substantial investments and building significant product pipelines.
Biologics are medications made from living organisms, while biosimilars are drugs that are highly similar to an already-approved biologic called the reference product.
Published on February 1, 2026
