The National Pharmaceutical Policy (2017) proposed that indigenously produced active pharmaceutical ingredients (API) be given preference in government procurements over imported materials.

India Environmental Portal

The Indian Pharmaceutical sector is largely fuelled by exports and is the 3rd largest foreign exchange earner for India. However, in the recent times, there are few concerns regarding adherence to the quality standards, dependence on imports for key starting materials, lack of R&D and growing competition from other countries. To set right the deficiencies of the previous policies and considering the developments in the pharmaceutical sector, a new policy was framed.