New Delhi: Union Minister for Chemicals and Fertilisers JP Nadda on Tuesday described the ₹13,000 crore allocation for BioPharma SHAKTI and three dedicated chemical parks as a strategic investment in India’s economic future, aimed at strengthening innovation, manufacturing and global competitiveness.
Speaking at the post-Budget Webinar on “Sustaining and Strengthening Economic Growth,” the Minister said the provision under Budget 2026–27 reflects a long-term vision for India’s industrial transformation. He emphasized that Free Trade Agreements (FTAs), highlighted by Prime Minister Narendra Modi, will open new gateways for Indian industries under the Viksit Bharat vision.
₹10,000 Crore for BioPharma SHAKTI Mission
Out of the total allocation, ₹10,000 crore has been earmarked for the BioPharma SHAKTI mission over the next five years. Nadda noted that while India earned the title “Pharmacy of the World” through affordable generics, the future lies in biologics and biosimilars.
He pointed out that by 2035, nearly 40% of global medicines are expected to be biologics. Additionally, patents worth $300 billion are set to expire by 2030, creating a major opportunity for Indian manufacturers.
Even securing a 1% share in the global biosimilars market could translate into an annual opportunity of ₹2 lakh crore for India, the Minister said. He added that the government is committed to strengthening regulatory and research ecosystems to seize this opportunity.
Boost to Research and Regulatory Capacity
Nadda stressed the need to enhance institutional capacity, particularly institutions such as the National Institute of Pharmaceutical Education and Research (NIPER), by integrating them more closely with skill development initiatives.
Plans are underway to develop 1,000 clinical trial sites across the country to strengthen research capabilities. The Central Drugs Standard Control Organization (CDSCO) will also be reinforced to ensure faster regulatory approvals, especially in areas such as biosimilars and fermentation-based drugs.
He noted that efficient regulation, combined with innovation and infrastructure, would help India transition from a generics powerhouse to a global leader in advanced pharmaceuticals.
₹3,300 Crore for Three Chemical Parks
The remaining ₹3,300 crore will be used to establish three world-class chemical parks across the country. These parks will feature plug-and-play utilities, advanced effluent treatment systems, integrated logistics networks and built-in safety mechanisms.
Currently, India’s chemical sector generates output worth ₹19.4 lakh crore and holds a 3% share in the global market. Despite strengths in dyes and agrochemicals, infrastructure gaps have limited further expansion.
The proposed parks aim to reduce production costs by 20–40% through industrial symbiosis and promote a circular economy by design. The Minister outlined an ambitious goal of increasing India’s global chemical sector share to 5–6% by 2030 and achieving a $1 trillion turnover by 2040.
Whole-of-Government Approach
Nadda described the post-Budget webinar series as a reflection of the “whole-of-government” approach, bringing together policymakers, industry leaders, financial institutions and experts to ensure effective implementation of Budget 2026–27 announcements.
He stressed that sustained economic growth requires collective ownership and deeper collaboration among ministries, states and industry stakeholders. “Progress cannot be achieved in silos,” he said, urging coordinated action to translate policy into results.
The webinar was the second in a series focused on accelerating India’s growth trajectory and ensuring that budgetary provisions lead to measurable economic gains.