The Strait of Hormuz Disruption and India’s Pharmaceutical Sector

(Oommen C. Kurian – Observer Research Foundation) India’s pharmaceutical sector holds a prominent position in the global health architecture, ranking third in the world by pharmaceutical production volume, operating over 2,000 WHO-GMP-approved manufacturing facilities, and hosting more USFDA-compliant plants than any country outside the United States. Pharmaceutical exports reached US$ 30.47 billion in FY2024–25, with year-on-year growth of 9.4 percent, and exports between April and February in FY26 reached US$ 28.29 billion, a further 5.6 percent above the previous year, according to industry sources. Pharmaceutical products from Indian manufacturing units reach almost every country in the world, and more than 60 percent of exports are destined for highly regulated markets, with the United States accounting for 34 percent and Europe for 19 percent. Within low- and middle-income country markets, India’s centrality is even more pronounced. Indian manufacturers account for 379 of the 563 WHO-prequalified pharmaceutical products, covering HIV/AIDS, tuberculosis, malaria, hepatitis, and neglected tropical diseases. Therefore, the operational integrity of this manufacturing system is, in practice, a precondition for global pharmaceutical supply security. – The Strait of Hormuz Disruption and India’s Pharmaceutical Sector