|
Pharma exports to top 10 destinations decline 4.2% in FY 22
|
|
Gireesh Babu, New Delhi
February 15 , 2023
|
|
|
Pharma exports to the top 10 destinations for the industry have seen a decline of 4.2 per cent during the last fiscal year ended March, 2022, led by a decline in exports to countries including South Africa and United States of America, according to the Ministry of Commerce and Industry.
Exports to the top 10 destinations have come down to $12.15 billion during the year 2021-22, as compared to $12.69 billion in 2020-21, even though the exports to some of these destinations have seen a growth, according to the data. However, compared to the $10.83 billion exports to these countries in 2019-20, the financial year 2021-22 has reported a 12.18 per cent growth.
The top 10 destinations that India exports pharmaceutical products in terms of value are the USA, United Kingdom, South Africa, Russia, Nigeria, Brazil, Germany, France, Netherlands and Belgium, respectively. These destinations contributed around 50 per cent of the total pharma exports from the country in the last three years. The total exports for the year 2019-20 was $20.703 billion, which has seen a growth to $24.44 billion in 2020-21 with a significant momentum, while losing it to have only a 0.6 per cent growth in the fiscal year 2021-22 at $24.59 billion, which not in tandem with the government’s target.
The exports to South Africa, which is the third largest export destination for Indian pharma in terms of value, has seen a decline of 26.5 per cent decline to $612.68 million in 2021-22, as against $ 833.53 million in the year of 2020-21, during the peaks of Covid-19 across the world.
Exports to USA, the largest destination in terms of value, has declined to $7.1 billion in 2021-22, as against $7.71 billion during the previous fiscal year, while exports to UK, which is the second largest destination in 2021-22, declined to $706 million as against $716.52 million in the previous fiscal year.
Similarly, pharma exports to Germany have also seen a decline to $529.28 million in FY 22, as compared to $575.47 million registered in the previous year.
Exports to Russia, Nigeria, Brazil, France, Netherland and Belgium, however, reported a growth. Pharma exports to Russia have registered a marginal growth to $598.24 million in FY 22, as compared to $590.69 million, while exports to Nigeria registered a growth to $588.34 million as compared to $573.17 million during the comparable period.
Exports to Brazil grew to $583.75 million compared to $525.28 million, France to $513.69 million from $412.81 million, Netherland to $460.58 million compared to $375.18 million, and Belgium to $449.06 million as against $370.19 million during the comparable fiscal years, according to data from the Ministry.
Union minister of state in the ministry of commerce and industry, Anupriya Patel has recently said in the Parliament that the recent trade agreements signed by India along with various other initiatives by the Centre has given wider market access for Indian pharmaceutical products and medical devices.
Some of the major initiatives taken by the government to utilise the potential market for export of drugs and medical devices include the financial assistance provided under the Market Access Initiative (MAI) scheme of Department of Commerce to develop new markets, to promote new products and new exporters as well as to consolidate the existing Indian exports markets.
The activities supported under the MAI scheme include organising/participating in fairs, exhibitions and buyer seller meets abroad and reimbursement of expenditure incurred by exporters on statutory compliances such as product registration charges, plant inspection charges etc.
“The recent trade agreements signed by India, namely, India-UAE Comprehensive Partnership Agreement and India-Australia Economic Cooperation and Trade Agreement have given wider market access for Indian pharmaceutical products and medical devices,” said the Minister in response to a question in the Parliament.
Pharmaceutical products and medical devices have been covered under RoDTEP Scheme (Remission of Duties and Taxes on Exported Products) with effect from December 15, 2022 under which the duties/ taxes/ levies paid by the exporters at the Central, state and local levels, that were not being rebated/refunded so far, will be refunded/rebated thus enhancing the export competitiveness of pharmaceutical industry.
The market access issues highlighted by Indian pharma exporters are regularly taken up with concerned trade partners through Indian Missions as well as through bilateral institutional mechanisms with these countries. In case of Russia, the meeting of India-Russia Sub-Group on elimination of barriers and restrictions in trade, economic and investment spheres was held on December 22, 2022 wherein trade issues of the pharmaceutical sector were raised, she added.
|
|
|
|
|
|
|
|
TOPICS
|
That foods might provide therapeutic benefits is clearly not a new concept. ...
|
|
|
|
|