Lok Sabha Question No. 2504 (UNSTARRED), answered on 2017-07-31
Subject: Import-Export of Drugs
Ministry: COMMERCE AND INDUSTRY
Asked by: HEMAMALINI

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 2504 TO BE ANSWERED ON 31 st JULY, 2017

## IMPORT-EXPORT OF DRUGS

## 2504. SHRIMATI HEMA MALINI:

Will the Minister of COMMERCE & INDUSTRY ( वािणÏय एवं उɮयोग मंत्री ) be pleased to state:

- (a) the  quantum and value of  medicines/drugs imported during each of the last three years and current year, country-wise;
- (b) whether India is largely dependent on import particularly from China to meet the bulk  of  the  requirement  of  various  drugs  including  essential  drugs  and  Active Pharmaceutical Ingredients (APIs);
- (c) if so, the details thereof and the reasons therefor; and
- (d) the  measures  taken  by  Government  to  boost  export  of  medicines/  drugs  and encourage the Indian pharmaceutical companies to increase their production so as to reduce dependence on imports?

## ANSWER

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## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

- (a): The value of medicines/drugs imported into the country along with the quantity for top 30 countries during the last three years and the current year is given at Annexure-I .

(b)  &  (c): The  estimated  production  of  bulk  drugs  by  indigenous  drug  manufacturing companies in 2016 was US$ 11.7 billion. Indian drug manufacturers import pharmaceuticals including  drug  intermediates,  bulk  drugs  and  formulations  from  various  countries.  India imports substantial drugs and pharmaceuticals from China in the form of raw materials as well as finished products for both domestic consumption and exports. Out of India's total imports of medicines/drugs of US$ 4.45 billion in 2016-17, imports from China was US$ 1.96 billion (44.1%). One of the reasons for imports from China is the price competitiveness of these products.

- (d): The  Government  is  taking  several  measures  to  boost  exports  under  Market Development  Assistance  (MDA)  and  Market  Access  Initiative  (MAI)  schemes.  Financial assistance  through  Pharmexcil,  an  Export  Promotion  Council,  is  provided  under  MDA  and

MAI  Schemes  by  Department  of  Commerce  to  exporters  of  various  pharmaceuticals products particularly small and medium size exporters to promote their exports in various countries.  Incentives  to  pharmaceuticals  industry  are  also  available  in  various  trade promotion schemes like Merchandise Exports from India Scheme  (MEIS), Advance Authorization Scheme, DFIA (Duty Free Import Authorization) for import of raw materials and Export Promotion Capital Goods (EPCG) Scheme for import of Capital Goods etc.

***

Annexure-I Statement referred to in reply of part (a) of Lok Sabha Unstarred Question no. 2504 for answer on 31 st July 2017.

| India's Imports of Medicines/Drugs from Top 30 Countries             | India's Imports of Medicines/Drugs from Top 30 Countries             | India's Imports of Medicines/Drugs from Top 30 Countries             | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   | India's Imports of Medicines/Drugs from Top 30 Countries   |
|----------------------------------------------------------------------|----------------------------------------------------------------------|----------------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|------------------------------------------------------------|
| S. No.                                                               |                                                                      |                                                                      | 2014-15                                                    | 2014-15                                                    | 2015-16                                                    | 2015-16                                                    | 2016-17 *                                                  | 2016-17 *                                                  | 2017-18 (April-May)*                                       | 2017-18 (April-May)*                                       |
|                                                                      | Countries                                                            | Unit                                                                 | Quantity                                                   | Value (US $ Millions)                                      | Quantity                                                   | Value (US $ Millions)                                      | Quantity                                                   | Value (US $ Millions)                                      | Quantity                                                   | Value (US $ Millions)                                      |
| 1                                                                    | China P RP                                                           | KGS                                                                  | 154.15                                                     | 2218.37                                                    | 160.18                                                     | 2265.88                                                    | 171.06                                                     | 1963.68                                                    | 39.95                                                      | 365.37                                                     |
| 2                                                                    | U S A                                                                | KGS                                                                  | 13.40                                                      | 416.57                                                     | 13.22                                                      | 453.49                                                     | 13.03                                                      | 408.44                                                     | 2.13                                                       | 69.90                                                      |
| 3                                                                    | Germany                                                              | KGS                                                                  | 4.72                                                       | 427.76                                                     | 5.03                                                       | 378.22                                                     | 4.86                                                       | 322.83                                                     | 0.94                                                       | 41.00                                                      |
| 4                                                                    | France                                                               | KGS                                                                  | 8.70                                                       | 171.48                                                     | 7.63                                                       | 179.91                                                     | 5.37                                                       | 189.03                                                     | 0.90                                                       | 26.51                                                      |
| 5                                                                    | Italy                                                                | KGS                                                                  | 5.56                                                       | 195.04                                                     | 6.67                                                       | 176.62                                                     | 5.20                                                       | 176.29                                                     | 0.69                                                       | 30.02                                                      |
| 6                                                                    | Switzerland                                                          | KGS                                                                  | 0.53                                                       | 159.54                                                     | 0.37                                                       | 138.80                                                     | 0.48                                                       | 132.39                                                     | 0.08                                                       | 29.36                                                      |
| 7                                                                    | Denmark                                                              | KGS                                                                  | 0.10                                                       | 98.96                                                      | 0.04                                                       | 93.94                                                      | 0.06                                                       | 112.50                                                     | 0.01                                                       | 12.10                                                      |
| 8                                                                    | Indonesia                                                            | KGS                                                                  | 15.52                                                      | 142.64                                                     | 16.77                                                      | 154.48                                                     | 18.57                                                      | 109.28                                                     | 5.16                                                       | 11.71                                                      |
| 9                                                                    | U K                                                                  | KGS                                                                  | 0.41                                                       | 66.33                                                      | 0.51                                                       | 82.26                                                      | 0.60                                                       | 94.16                                                      | 0.24                                                       | 18.05                                                      |
| 10                                                                   | Spain                                                                | KGS                                                                  | 3.18                                                       | 81.11                                                      | 3.17                                                       | 91.25                                                      | 3.62                                                       | 84.13                                                      | 0.47                                                       | 14.08                                                      |
| 11                                                                   | Singapore                                                            | KGS                                                                  | 5.37                                                       | 43.38                                                      | 16.48                                                      | 92.73                                                      | 19.02                                                      | 81.73                                                      | 3.62                                                       | 10.39                                                      |
| 12                                                                   | Korea Rp                                                             | KGS                                                                  | 8.62                                                       | 74.81                                                      | 13.15                                                      | 69.87                                                      | 12.80                                                      | 81.38                                                      | 2.02                                                       | 8.96                                                       |
| 13                                                                   | Belgium                                                              | KGS                                                                  | 9.91                                                       | 89.30                                                      | 0.33                                                       | 80.39                                                      | 0.38                                                       | 78.05                                                      | 0.12                                                       | 12.40                                                      |
| 14                                                                   | Brazil                                                               | KGS                                                                  | 0.23                                                       | 66.58                                                      | 0.56                                                       | 49.34                                                      | 0.32                                                       | 76.73                                                      | 0.06                                                       | 8.01                                                       |
| 15                                                                   | Netherland                                                           | KGS                                                                  | 1.74                                                       | 96.48                                                      | 3.54                                                       | 82.31                                                      | 6.21                                                       | 72.94                                                      | 1.10                                                       | 11.04                                                      |
| 16                                                                   | Japan                                                                | KGS                                                                  | 7.48                                                       | 73.57                                                      | 9.10                                                       | 73.87                                                      | 7.40                                                       | 59.17                                                      | 1.40                                                       | 7.83                                                       |
| 17                                                                   | Austria                                                              | KGS                                                                  | 0.71                                                       | 26.42                                                      | 0.61                                                       | 28.62                                                      | 0.83                                                       | 45.86                                                      | 0.33                                                       | 11.53                                                      |
| 18                                                                   | Puerto Rico                                                          | KGS                                                                  | 0.01                                                       | 9.20                                                       | 0.25                                                       | 31.37                                                      | 0.24                                                       | 39.36                                                      | 0.06                                                       | 8.87                                                       |
| 19                                                                   | Ireland                                                              | KGS                                                                  | 0.05                                                       | 37.40                                                      | 0.03                                                       | 18.05                                                      | 0.03                                                       | 33.69                                                      | 0.00                                                       | 6.29                                                       |
| 20                                                                   | Taiwan                                                               | KGS                                                                  | 0.73                                                       | 35.16                                                      | 0.33                                                       | 41.14                                                      | 0.33                                                       | 31.12                                                      | 0.12                                                       | 3.96                                                       |
| 21                                                                   | Hungary                                                              | KGS                                                                  | 0.01                                                       | 15.10                                                      | 0.01                                                       | 22.26                                                      | 0.02                                                       | 29.87                                                      | 0.00                                                       | 2.95                                                       |
| 22                                                                   | Mexico                                                               | KGS                                                                  | 0.19                                                       | 29.86                                                      | 0.19                                                       | 27.81                                                      | 0.22                                                       | 29.09                                                      | 0.04                                                       | 3.65                                                       |
| 23                                                                   | Israel                                                               | KGS                                                                  | 0.19                                                       | 31.42                                                      | 0.17                                                       | 31.88                                                      | 0.10                                                       | 28.47                                                      | 0.01                                                       | 3.44                                                       |
| 24                                                                   | Australia                                                            | KGS                                                                  | 0.38                                                       | 32.29                                                      | 0.61                                                       | 23.22                                                      | 0.94                                                       | 22.97                                                      | 0.30                                                       | 5.85                                                       |
| 25                                                                   | Malaysia                                                             | KGS                                                                  | 0.20                                                       | 5.75                                                       | 2.17                                                       | 14.25                                                      | 2.37                                                       | 15.70                                                      | 1.19                                                       | 3.18                                                       |
| 26                                                                   | Thailand                                                             | KGS                                                                  | 12.45                                                      | 22.05                                                      | 13.65                                                      | 21.31                                                      | 10.17                                                      | 14.82                                                      | 2.14                                                       | 3.40                                                       |
| 27                                                                   | Canada                                                               | KGS                                                                  | 0.06                                                       | 16.56                                                      | 0.03                                                       | 15.55                                                      | 0.06                                                       | 14.42                                                      | 0.00                                                       | 0.94                                                       |
| 28                                                                   | Slovenia                                                             | KGS                                                                  | 0.03                                                       | 33.00                                                      | 0.02                                                       | 25.20                                                      | 0.02                                                       | 10.79                                                      | 0.01                                                       | 0.40                                                       |
| 29                                                                   | Sweden                                                               | KGS                                                                  | 0.01                                                       | 8.60                                                       | 0.00                                                       | 8.85                                                       | 0.11                                                       | 9.13                                                       | 0.05                                                       | 3.07                                                       |
| 30                                                                   | Nepal                                                                | KGS                                                                  | 2.71                                                       | 11.08                                                      | 3.00                                                       | 10.94                                                      | 3.18                                                       | 8.40                                                       | 0.50                                                       | 1.45                                                       |
|                                                                      |                                                                      |                                                                      | 257.34                                                     | 4735.78                                                    | 277.84                                                     | 4783.84                                                    | 287.59                                                     | 4376.40                                                    | 63.63                                                      | 735.70                                                     |
| Total of above 30 countries India's total imports of medicines/drugs | Total of above 30 countries India's total imports of medicines/drugs | Total of above 30 countries India's total imports of medicines/drugs | 276.19                                                     | 4865.75                                                    | 284.09                                                     | 4885.04                                                    | 294.31                                                     | 4454.12                                                    | 64.63                                                      | 755.28                                                     |
| %share of China in total medicines/drugs imports                     | %share of China in total medicines/drugs imports                     | %share of China in total medicines/drugs imports                     | 55.81                                                      | 45.59                                                      | 56.38                                                      | 46.38                                                      | 58.12                                                      | 44.09                                                      | 61.80                                                      | 48.38                                                      |

Source: DGCI&S, Kolkata (* Provisional)