The story
Gujarat's pharma industry grew from early firms in Ahmedabad and Vadodara and from the state's chemical base, which supplies solvents and intermediates. Large companies built plants approved by foreign regulators, and many smaller firms do contract manufacturing for them. Clusters around Changodar, Sanand, Vadodara and Bharuch also make medical devices.
In numbers
Gujarat contributes 30% of India's pharmaceutical production and 28% of its pharma exports (April 2025).
183 new pharma units set up in Gujarat with investment of Rs 12,000 crore in 2024-25 (KNN India) · 2025Gujarat has over 4,000 pharma manufacturing units employing about 50,000 people; 183 new allopathic drug plants were set up in 2024-25 (April 2025).
183 new pharma units set up in Gujarat with investment of Rs 12,000 crore in 2024-25 (KNN India) · 2025Gujarat makes 53% of India's medical devices and 78% of its cardiac stents (April 2025).
183 new pharma units set up in Gujarat with investment of Rs 12,000 crore in 2024-25 (KNN India) · 2025
Ways in for a newcomer
- Contract and loan-licence manufacturing
- Packaging materials such as blister foil and capsule shells
- Regulatory, testing and documentation services
- Pharmacy distribution
Problems the cluster faces
- Strict GMP and foreign regulator inspections
- Dependence on imported raw materials
- Price controls on medicines
Businesses to start here
Capsule Shells and Medicine Blister Foil →Ayurvedic Classical Formulations Unit (Arishta, Churna, Avaleha) →Medical Store (Retail Pharmacy) →Disposable Plastic Syringes →