**MARKET BRIEF: India Biopharma & Budget 2026 Update** **Policy Spotlight: Biopharma SHAKTI** The Union Budget 2026-27 has unveiled the **₹10,000 crore** Biopharma SHAKTI programme, a decisive move to transition India from a generics powerhouse to a global leader in biologics and innovation. Allocated over the next **5 years**, this initiative targets the critical shift toward high-value biopharmaceuticals. The programme prioritizes three key pillars: * **Innovation Ecosystem:** Establishment of **3** new National Institutes of Pharmaceutical Education and Research (NIPERs) and upgrading **7** existing institutions to foster high-end research. * **Clinical Infrastructure:** Creation of a network of **1,000** accredited clinical trial sites to accelerate drug development and regulatory approvals. * **Manufacturing Scale:** Direct support for domestic production of complex biologics and biosimilars, reducing import dependence for cancer, diabetes, and autoimmune treatments. **Market Pulse & Key Data** The announcement comes as the Indian pharmaceutical market crosses significant milestones. * **Market Size:** Valued at approximately **$55 billion** in 2025, the sector is on track to reach **$120–130 billion** by 2030. * **Biosimilars Growth:** The domestic biosimilars segment is estimating a surge to **$12 billion** in 2025, growing at a CAGR of **22%**. * **Export Performance:** Pharmaceutical exports reached **$30.38 billion** (₹2.59 lakh crore) in FY25, with drug formulations and biologicals accounting for **75%** of shipments. * **CDMO Opportunity:** The Contract Development and Manufacturing Organization (CDMO) segment is projected to double to **$14 billion** by 2028. **Industry Implications** Market reaction has been swift and positive. Industry leaders view the SHAKTI programme as a validation of the "Volume to Value" strategy. The focus on non-communicable diseases aligns with shifting global healthcare demand, where patented drugs worth over **$270 billion** are losing exclusivity, opening a massive window for Indian biosimilars. The expanded clinical trial network addresses a long-standing bottleneck, potentially reducing approval timelines and attracting global R&D investments. With the government targeting a **$300 billion** bioeconomy by 2030, this policy provides the necessary capital and structural support to move up the value chain.