About the sector

Andhra Pradesh is renowned as one of the top hubs in the country for manufacturing pharmaceutical products. Multiple large global firms have made the state their base and supply to their global clientele. The state is home to renowned pharma clusters namely Jawaharlal Nehru Pharma City (JNPC), APSEZ Atchutapuram, APSEZ Pydibhimavaram, and APSEZ Naidupeta which host key pharma industries.

Andhra Pradesh is also home to Asia’s largest “Integrated Medical Devices Manufacturing Park – AP Med-Tech Zone (AMTZ)" which is set up in 270 Aces in Vishakhapatnam. Andhra Pradesh has a robust pharma valuechain enabling seamless to and fro linkages for product development and clinical research.

The State is home to 250+ APIs/Bulk Drug units of which 38 are approved by the World Health Organization (WHO) and 20 are approved by the United States Food and Drug Administration (USFDA). The pharmaceutical sector in Andhra Pradesh contributed to 16% of India’s production value during FY 2018-19 i.e., INR 44,000 Cr (USD 6.3 Bn), and 6% of national exports during FY 2018-19 i.e., INR 24,538 Cr (USD 3.5 Bn). The sector has also attracted over INR 18,000+ Cr (USD 2.5 Bn) investments as of FY 21-22, generating about 88,984 direct employments in total.

Andhra Pradesh aims to leverage the existing pharmaceutical, biotech, and medical device clients to develop future-focused strategies & policies supporting global Pharma & Life Sciences companies..

Sector Highlights & Key Initiatives

Andhra Pradesh Med-Tech Zone (AMTZ) in Visakhapatnam has established an Emergency Care Research Institute (ECRI) managed by Kalam Institute of Health Technology (KIHT).

The State is setting up a new Bulk Drug Park in Kakinada over an area of 1,000 acres and in-principal approval for the same has been granted by the Government of India. The State has also incorporated the Andhra Pradesh Environment Management Corp. Ltd. to organize & enhance waste management facilities, especially bio-medical waste and cater to the waste management need of pharma industries.

Andhra Pradesh supplies large manpower for the pharmaceutical industry. The state has ~154 undergraduate and 124 post-graduate universities & colleges with courses on pharma, bio-medical, and biotechnology across the state.

The State has proposed to set up an association in collaboration with the Industry Partners and promote investments into and exports from the state.

Andhra Pradesh has a substantial competitive advantage with a workforce with technical expertise, WHO-GMP-approved production premises, and a substantially (40%) lower cost of operation & production.

The State has established Indian Biomedical Skill Consortium (IBSC), through AMTZ in association with the Quality Council of India. Additionally, Industry Association, Incubation Centres - Medi Valley Atal Incubation Centre, and Bio Valley Incubation Council have also been established.

Marquee Investments