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Eli Lilly is all set to invest more than $1 billion in India in the coming years to boost manufacturing and supply through local drugmakers.
The company is a global pharmaceutical giant which was recently in the news for its drug Mounjaro in India this year.
Note: Mounjaro is the brand name for the injectable prescription drug Tirzepatide, used along with diet and exercise to treat adults with type 2 diabetes.
What’s brewing: this comes as it seeks to tap into India’s skilled workforce to bolster its global manufacturing expansion. The move also aims to increase the availability of Lilly’s key drugs, including those of obesity, diabetes, Alzheimer’s, cancer and autoimmune conditions.
FYI: the company doesn’t have its own factory here. Instead, it relies on Indian companies that make complex medicines, vials, and injections for big global drugmakers on a contract basis.
Not only that, Lilly will establish a new hub in Hyderabad to offer advanced technical capabilities and oversight for the company’s contract manufacturing network across India.
Why it matters: Lilly’s investment plans in India come at a time when global drugmakers are ramping up manufacturing in the US. This follows the Trump administration’s move to impose a 100% tariff on imported branded and patented drugs from October 1.
Big theme: India is drawing massive investments from global pharma giants seeking to diversify beyond China, the country already supplies over 20% of the world’s generic medicines and exports drugs to more than 200 nations.
With its low production costs and expanding manufacturing base, India is cementing its role as a key player in the global healthcare supply chain. For Lilly, this investment strengthens India’s position as a crucial hub in its worldwide manufacturing strategy.
