The Union Budget 2026–27, presented by the Hon’ble Union Minister for Finance and Corporate Affairs Smt. Nirmala Sitharaman in the Parliament today, has announced several key initiatives to strengthen India’s pharmaceutical and biopharma sector. The Finance Minister stated that the Government has undertaken comprehensive economic reforms towards creating employment, boosting productivity and accelerating growth. The Minister emphasised scaling up of manufacturing in 7 strategic and frontier sectors including Pharmaceuticals to further accelerate and sustain economic growth.

Biopharma SHAKTI to Position India as a Global Biomanufacturing Hub

Underlining the importance of Biologic medicines at affordable costs  to longevity and quality of life, the Finance Minister announced ‘Biopharma SHAKTI (Strategy for Healthcare Advancement through Knowledge, Technology & Innovation)’ with a total outlay of ₹10,000 crore over the next five years. The programme is designed to develop India into a global biopharmaceutical manufacturing hub by building a strong and self-reliant ecosystem for the domestic production of biologics and biosimilars.

This initiative will catalyse investments in advanced biomanufacturing infrastructure, promote innovation and enhance India’s capabilities in high-value, next-generation therapies, thereby reducing import dependence and strengthening healthcare security.

Expansion of India’s Clinical Research Capacity

To further strengthen India’s position as a preferred destination for clinical research, under Biopharma SHAKTI, the Finance Minister said a network of over 1,000 accredited clinical trial sites across the country would be created.

This large-scale expansion will:

• Enhance the quality and credibility of clinical research in India
• Accelerate drug development timelines
• Improve access to cutting-edge therapies for Indian patients
• Generate significant opportunities for researchers, medical professionals and allied sectors

The Finance Minister also announced that the Central Drugs Standard Control Organisation would be strengthened to meet global standards and approval timeframes through a dedicated scientific review cadre and specialists.

Strengthening Pharmaceutical Education and Research: New NIPERs

Emphasising strengthening  of pharmaceutical education and research in the country, the Finance Minister announced the establishment of three new National Institutes of Pharmaceutical Education and Research (NIPERs) along with the upgradation of the existing seven NIPERs. This step will enhance India’s capacity for advanced pharmaceutical education, high-end research and innovation. The expansion and modernisation of these premier institutes will help in developing a highly skilled workforce, promoting industry–academia collaboration, and supporting the growth of a globally competitive pharmaceutical and biopharmaceutical sector.

These measures collectively mark a significant step toward building a robust, innovation-driven, and globally competitive pharmaceutical and biopharmaceutical sector in India.

***

PC/PM