Middle East Conflict Threatens Indian Pharma Exports

India's pharmaceutical industry is grappling with potential losses ranging from Rs 2,500 crore to Rs 5,000 crore due to disruptions in supply and freight movements caused by the Middle East conflict, according to the Pharmaceuticals Export Promotion Council of India.

The Gulf Cooperation Council (GCC) countries play a critical role, accounting for 5.58% of India's pharmaceutical exports. Recent data points to an increase in exports to the Middle East, with figures rising from USD 1,320.44 million in FY 2020-21 to USD 1,749.68 million in FY 2024-25, reported Pharmexcil Chairman Namit Joshi.

Joshi emphasized the urgent need for the Indian industry to collaborate with government authorities to explore possible freight relief measures. Diversifying shipping routes and engaging with international regulatory bodies are deemed essential to mitigate the potential significant impact on pharmaceutical exports.