India’s Rs 10,000 crore Biologics Boost: 3 CDMO Stocks to Watch as Margins Pivot.
Published: 08 May 2026
Author: Towards Healthcare
Finance Minister Nirmala Sitharaman presented the Union Budget 2026–27, unveiled Rs 10,000-crore Biopharma SHAKTI, a five-year scheme to transform India into a global biopharmaceutical powerhouse. It aimed at strengthening domestic manufacturing of biologics and biosimilars.
The programme is expected to boost capacity creation, reduce import dependence, and improve India’s competitiveness in high-value biopharmaceutical segments.
According to Towards Healthcare, the biologics contract manufacturing market is projected to experience significant growth, with estimates suggesting the market size will increase from USD 23.99 billion in 2026 to approximately USD 55.65 billion by 2035, representing a compound annual growth rate (CAGR) of 9.8% from 2026 to 2035. Growth is driven by increasing demand for biologics, with biologics accounting for over 40% of the new drugs approved annually. This demand is supported by the rising prevalence of chronic diseases and the need for advanced therapies. The technological advancement shift towards advanced and flexible manufacturing platforms, such as single-use technologies and continuous processing, enhances scalability and reduces contamination risks.
About Biopharma SHAKTI
The initiative aims to develop a complete domestic ecosystem bridging research, manufacturing, regulation, and clinical validation to reduce dependence on imports for cutting-edge biologics and biosimilars.
It enhances healthcare security, promotes innovation, and boosts India’s global competitiveness in the biopharma sector.
Biopharma SHAKTI creates a domestic ecosystem for research, development, and manufacturing of next-generation therapies. It ensures affordable access to advanced medicines, strengthens India’s global position, and upgrades CDSCO with a scientific review cadre to meet regulatory standards.
Healthcare security meets economic ambition.
The programme is part of the government’s broader push to scale up manufacturing in seven strategic and frontier sectors, underscoring its role not only in healthcare but also in economic growth and global competitiveness.
It anchors substantial investment, education, clinical capability, and regulatory reform, the initiative to improve patient access to advanced treatments, reduce import dependency in biologics, grow high-skilled biotech employment, and attract domestic and global investment.
A recent report by Towards Healthcare highlights the biologics contract manufacturing market’s shift towards advanced, flexible manufacturing platforms like single-use technologies and continuous processing, enhancing scalability and reducing contamination risks. Strategic partnerships between pharmaceutical firms and CMOs further drive efficiency and cost-effectiveness.