CRISIL SME Tracker: Strong domestic demand to drive pharma growth in FY23

Strong domestic demand and exports to semi-regulated markets are expected to drive revenue growth for the pharmaceuticals sector in the current fiscal year (FY23), though export demand from regulated markets is expected to remain moderate owing to high pricing pressure amid intense competition.

In December, the domestic pharmaceuticals market grew 10.4 per cent on exceptional growth in both volume sales and prices. However, this growth was led by anti-infective therapeutics and could taper in coming months.
 

In this milieu, small and medium enterprises (SMEs), which have a 30-40 per cent share in industry revenue, are expected to grow 7-9 per