Ravi Teja, Deputy Director, Department of Commerce.
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India is reviewing the months-old duty-related relief measures for the pharma sector amid the evolving situation in West Asia and is likely to extend the exemptions beyond June 30, a senior official in the Centre’s Department of Commerce said in Hyderabad on Tuesday (June 9, 2026).
“We are reviewing on a daily basis… there might be a possible extension [of the exemptions],” Deputy Director Ravi Teja told the media, pointing out to the Customs duty exemption the government had granted on critical petrochemical products.
The government had announced the measures to ensure the continuous availability of essential petrochemical inputs for domestic industries, reduce cost pressures on downstream sectors and safeguard supply stability across the country. It was aimed at supporting various sectors dependent on petrochemical feedstock and intermediate products, including plastics, packaging, textiles, pharmaceuticals, chemicals, automotive components and other manufacturing industries.
Duty relief was introduced on certain chemicals and solvents used in pharmaceutical production. Additionally, measures were initiated to offset rising freight and insurance expenses, he said, adding the impact of the West Asia crisis on pharma supplies and exports has been limited.
The government has also sharpened the focus on diversification of markets to ensure the continued growth of pharma exports, which in FY2026 touched a little over $31 billion.
India is the third largest producer of pharmaceuticals by volume, supplies around 20% of global generics demand and more than 60% of the exports go to stringently regulated markets.
Mr. Ravi Teja said the next phase of growth will be defined by India’s movement from volume to value. Generics will remain as the foundation. The future will also be shaped by biosimilars, biologics, gene therapies, speciality medicines, vaccines, complex generics, contract manufacturing capabilities and medical devices.
India is pursuing a target of $50 billion in pharma exports by 2030. Towards this, a multi-pronged strategy is being implemented, including measures to strengthen quality systems as well as improve manufacturing capacities of active pharmaceutical ingredients and key starting materials from a perspective of reducing dependence on imports. Besides market diversification, the emphasis is on regulatory cooperation, especially on acceptance of the Indian Pharmacopoeia by many more countries – currently, more than 20 countries accept the standards.
Published – June 09, 2026 10:41 pm IST
