From disruption to resilience: India’s growing role in pharma logistics

If the past five years have taught the pharmaceutical industry anything, it’s this: supply chain resilience isn’t just a box-ticking exercise. It’s the difference between continuity and chaos, between profit and peril.

From Brexit to blockades, pandemics to political instability, global pharma leaders have seen just how quickly disruption can derail progress. But where others see risk, there’s now opportunity – and it’s coming from an unexpected source.

India, long known for its generic drug manufacturing, is quietly becoming a strategic springboard for global pharma brands to rewire their supply chains for speed, agility and future growth. Thanks to technology-driven market intelligence and shifting geopolitical dynamics, that shift is now more achievable and more urgent than ever.

India’s pharmaceutical market is forecast to reach a staggering $120-130bn by 2030. That’s more than just a growth story – it’s a wake-up call for supply chain strategists. The country offers up to 35% cost advantages over the US and Europe, thanks to established infrastructure, lower labour costs and a robust ecosystem of contract manufacturing organisations (CMOs).

But perhaps the most powerful ingredient in India’s appeal is its adaptability. Indian suppliers have proven remarkably agile in scaling up production and meeting global regulatory standards, particularly through partnerships with multinational players. This positions India as a vital ‘plan B’ – or even ‘plan A’ – for companies seeking insulation from Western market volatility.

This strategic pivot to India is gaining urgency amid new geopolitical pressures. In July 2025, the US confirmed it will impose a 15% tariff on branded medicines imported from Europe. Pharma leaders have condemned the policy as a ‘blunt instrument’ that could increase industry costs by as much as $19bn. With companies like AstraZeneca and Roche redirecting investment to the US, India’s role as a politically neutral, cost-efficient partner is more critical than ever. For leaders seeking insulation from US trade unpredictability and European pricing pressures, India now offers not just an operational advantage – but a strategic insurance policy.

Until recently, strategic planning around supply chains relied heavily on conventional research and backward-looking data. This led to delayed decisions, hidden cost centres and missed opportunities in emerging markets.

Today, real-time market analysis – powered by AI and automation – is offering a new edge. Decision-makers can now access insights on procurement flows, logistics bottlenecks and supplier performance in seconds. That means risks are flagged earlier, viable alternatives can be explored faster and strategies can pivot with far greater confidence.

For example, global supply chain monitoring tools are now highlighting India’s role in maintaining continuity during international disruptions. These insights help identify which suppliers can adapt quickest to volume spikes, regulation shifts or new standards.

This is particularly relevant when over 70% of companies still fail to conduct adequate market due diligence before expanding into new regions. With pharmaceutical spending expected to hit $2.228trn globally by 2028, failing to spot gaps in supply chain strategy could prove costly.

It’s easy to reduce India’s appeal to a cost-benefit equation, but the full picture is more nuanced. The nation’s pharma rise is being underpinned by government incentives, public-private partnerships and growing investment in biopharma innovation. These dynamics are shaping a more sustainable supply ecosystem – one not just geared for volume, but for velocity and value creation.

India is already among the top exporters of vaccines and generics, but its growth trajectory in biosimilars and specialty drugs is what has caught the industry’s attention. Indian CMOs are expanding their global footprint, building FDA-compliant facilities and offering end-to-end services that appeal to both startups and large multinationals.

Consider this: the global biopharmaceutical CMO market hit $19bn in 2025 and is expected to grow at a CAGR of 15.3% through to 2032. Indian firms are poised to capture a significant slice of this growth, especially in biologics and complex generics. For UK pharma companies looking to expand their global footprint, the question isn’t ‘Why India?’, but ‘Why not?’

Geopolitical stability is another driving factor. India’s growing diplomatic clout and its established trade agreements position the country as a lower-risk partner in an increasingly fragmented global economy. For UK and European pharma leaders, whose traditional sourcing routes have faced pressure from trade wars, sanctions and transportation bottlenecks, India presents a more balanced risk-reward profile.

Additionally, India’s domestic policy push – through schemes like the Production Linked Incentive (PLI) – is actively supporting pharmaceutical exports and innovation. This means companies investing now are not just gaining capacity but are also aligning with long-term national growth strategies.

Supply chain decisions are increasingly board-level conversations. The challenge isn’t just to collect more data, it’s to shape a story the C-suite can act on. That story needs both logical evidence and emotional pull.

The logic might look like this: a shift to Indian supply partnerships saved 22% on procurement costs, reduced lead times by four weeks and opened up new sales channels in Southeast Asia.

The emotional resonance is equally powerful: greater patient access; supply continuity through global disruption, and the strategic foresight to move ahead of the curve.
With the right narrative, a procurement shift becomes a growth story – and one the CEO can confidently share with investors and stakeholders alike.

As global risk factors multiply, the pressure on procurement leaders is intensifying. They are no longer just sourcing partners – they are resilience architects. But many still operate without the early warning signals needed to make proactive moves.

Macroeconomic indicators, political tension, raw material price shifts and regional regulation changes must now be tracked and interpreted together. This systems view – powered by AI platforms like Gieni AI that can process millions of company profiles and market data points in real-time – is what allows companies to act fast and make confident decisions.

Companies are increasingly building what some call a ‘supply chain radar’ – intelligent dashboards that combine logistics, financial and geopolitical data to trigger action ahead of major disruptions. India’s prominence in many of these dashboards is no accident – its stability and capacity are now being viewed as a hedge against global uncertainty.

For supply chain strategies to gain buy-in and budget, their outcomes need to be clearly measurable. It’s no longer enough to report on delivery times or compliance. Instead, procurement teams are being asked to show how supply changes drive broader business metrics: margin improvement; market expansion; ESG goals, and risk mitigation.

India’s contributions can be clearly mapped to each. Faster onboarding of suppliers reduces time-to-market for new products. Lower manufacturing costs open up room for pricing flexibility. And regional diversification aligns neatly with many ESG frameworks focused on sustainability and social impact.

India is no longer a secondary option for pharma manufacturing. It is becoming a primary strategic partner for supply chain resilience, cost efficiency and access to growing markets.
With advanced tools now enabling real-time insights into supplier capabilities, logistics trends and geopolitical risk, companies have what they need to act decisively.

The next phase of global pharma growth will be led by organisations that make data-backed decisions, diversify intelligently and align supply strategy with long-term business goals. India offers a clear path to achieving that.

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David Dogon is AI Product Director at Orderfox Schweiz