Commenting on a NITI Aayog report on pharmaceutical trade released on Tuesday, economist Ved Jain told IANS that the time is right for India to make a significant leap in exporting high-value pharmaceutical products.

"We should invest in research innovation on basic drugs and facilities and for that, and I believe there has to be a strong PLI scheme for valued products, like high basic drugs and API products," he said.

According to the NITI Aayog report, India's comparative advantage remains concentrated in formulations, particularly retail medicaments and generic drugs, where it continues to be highly competitive even in regulated markets such as the United States and Europe.

Jain said India needs to further remove regulatory barriers, increase production capacity, and boost the manufacturing of high-value pharmaceutical products for export.

He added that various free trade agreements (FTAs) signed by India could support this transition once certain regulatory challenges are addressed.

The PLI Scheme for pharmaceuticals supports the manufacturing of high-value products such as biopharmaceuticals, complex generics, patented and off-patent drugs, orphan drugs, and autoimmune therapies. Since its inception through September 2025, the scheme has generated total sales of Rs 3,08,408.60 crore, including exports worth Rs 1,98,509.49 crore.

Investment under the scheme reached Rs 40,294 crore by September 2025, significantly surpassing the targeted investment of Rs 17,275 crore. The initiative has also helped reduce India's dependence on imports for bulk drugs.

Meanwhile, the global pharmaceutical industry is increasingly moving toward high-value segments such as biologics, vaccines, immunologicals, and advanced therapeutics, where India's export presence remains relatively limited.

With Inputs From IANS