The Indian Vaccine Industry – A Brief Overview
Over the years, India has emerged as one of the leading manufacturers of vaccines worldwide, and supplies large quantities of basic and advanced vaccines across the globe. Currently, more than two thirds of the total volume of the vaccines manufactured is exported while the rest is utilized domestically. India’s share in global vaccine market is consistently increasing and at present the country contributes more than 33 per cent in the global market. The global vaccines market is projected to reach USD 62.20 billion by 2027 from USD 41.7 billion in 2019, at a CAGR of 5.2% during the forecast period. The growth of this market is majorly attributed to the high prevalence of infectious diseases, increasing company initiatives to enhance vaccine R&D, growing government support for vaccine development, and the rising focus on immunization. However, the huge capital investments required for developing vaccines may restrain market growth.
Undoubtedly, India is the epicenter for vaccine manufacturing in the world. With many top vaccine giants supplying basic and advanced vaccines to nearly 170 countries, India, over the years, has emerged as the global vaccines hub. India has emerged as a global leader in vaccines with about one-third share of the total market. Indian manufacturers account for 60% of vaccine supplies made to UNICEF.
Indian vaccine industry with many state-of-the-art manufacturing facilities has earned India the recognition of having the largest global capacity for WHO prequalified vaccine manufacturing. Along with other factors, increased public awareness about vaccination and public immunization programs, coupled with government support to develop new vaccine act as key factors driving India’s vaccine industry.
The importance of the Indian vaccine industry can be gauged by the fact that it supports a massive Universal immunization programme of the Government of India and preventive health care programmes of State Governments, by supplying about 1 billion doses of 12 important human vaccines. In addition, thanks to its ability to make high quality vaccines at affordable prices, the Industry exports over 0.7 billion doses of human vaccines largely to the Global Alliance for Vaccines and Immunization (GAVI) supported United Nations Childrens’ Education Fund (UNICEF)’s Global immunization programme in the developing and least developing countries. A number of other vaccines are sold in the private trade, which though do not add up in terms of volumes, account for significant value of Rs. 2000 crore.
Several Indian vaccine companies are also partnering with international agencies in the development of new vaccines for diseases affecting the developing and least developed countries. No wonder that Indian vaccine industry stands counted as a prominent group in the global vaccine industry with its Unique Selling Proposition (USP) of quality, affordability and reliability.