Pharma News India Monthly – September 2026

September turned out to be a tough month for the Indian pharmaceutical industry. On one side, there was plenty of good news about new investments and global business opportunities. On the other side, a serious problem kept growing quietly in the background. The cost of raw materials and packaging materials kept climbing, and this is now hurting manufacturers badly.

This monthly update covers all the important developments from the pharma world during September 2026. But before we get into the big corporate and regulatory news, let us talk about the issue that matters most right now.

The Raw Material Problem Nobody Can Ignore

Ask any pharma manufacturer in Baddi, Ahmedabad, or Hyderabad what is worrying them the most, and the answer will be the same. Raw material prices have gone through the roof.

The numbers are shocking. Paracetamol API, one of the most common ingredients used in medicines, jumped from around ₹250 per kg to ₹450 per kg in just fifteen days. That is nearly an 80 percent increase in a fortnight. And it is not just Paracetamol. Solvents, excipients, and almost every other input used in medicine production has become more expensive.

The main reason is the ongoing conflict in West Asia. This region supplies many petrochemical-based materials that go into drug manufacturing. Shipping routes have been disrupted. Freight costs have jumped multiple times. Insurance premiums for cargo have gone up. Every link in the supply chain is adding to the final cost.

Packaging materials are also burning a hole in manufacturers' pockets. PVC used for blister packs has moved from ₹130 per kg to ₹190 per kg. Aluminium foil has climbed from ₹400 per kg to ₹600 per kg. Even simple things like cartons, labels, and glass bottles have become costlier.

Small and medium manufacturers are the worst hit. Unlike big companies that keep two to three months of stock, MSMEs work with just three to six weeks of inventory. They do not have deep pockets to absorb sudden price shocks. Many units in Himachal Pradesh and Gujarat are now struggling to stay afloat.

The industry has been asking the government for help. Associations representing over 500 manufacturing units have requested emergency measures. They want temporary price relaxations, freight subsidies, GST relief on key inputs, and faster processing of pending refunds.

But here is the uncomfortable truth. If manufacturers cannot recover these costs, medicine prices will have to go up. There is no other way. And when medicine prices rise, it is the common patient who suffers. This is why the government needs to act fast. Supporting the industry today means protecting patients tomorrow.

iPHEX 2026 Brings Billions in Business Opportunities

The 12th edition of iPHEX, India's biggest pharmaceutical export exhibition, concluded in New Delhi with impressive numbers. The event generated potential business discussions worth $4.5 to $5 billion.

Held from September 7 to 9 at Bharat Mandapam, the exhibition saw 468 buyers from 128 countries. There were 405 sellers and over 8,500 business meetings. More than 30,000 business visitors attended, and total footfall crossed 50,000.

National procurement agencies from countries like Cuba, the Philippines, Zambia, Kenya, and Afghanistan participated. This shows the kind of trust Indian manufacturers have built globally.

Pharmexcil Chairman Namit Joshi said the focus now is on converting these discussions into long-term business relationships. The exhibition clearly proved that global buyers continue to look at India as a reliable partner for medicines.

₹1,600 Crore Approved for Pharma Innovation

In a major push for research and innovation, the government approved ₹1,600 crore in funding for 41 pharmaceutical and medical technology projects. This is part of the Promotion of Research and Innovation in Pharma MedTech Sector scheme.

These projects are expected to attract an additional ₹3,020 crore in private investment. So the total research investment across these projects will be around ₹4,620 crore.

The funding covers new drug discovery, complex generics, biosimilars, and novel medical devices. Companies like Biocon, Bharat Biotech, Sun Pharma, Wockhardt, Zydus, and Mankind Pharma are among the beneficiaries.

This is a clear signal that India wants to move beyond just making generic medicines. The future belongs to innovation, and the government is putting serious money behind that vision.

Regulatory Action on Rabies Vaccines

The drug regulator took strong action against substandard rabies vaccines during September. A batch of rabies vaccine misbranded as Abhayrab was identified. The vaccine was not manufactured by the original company. Four people were arrested in connection with the case.

In a separate action, a Ghaziabad-based company called Bio Med was stopped from manufacturing its anti-rabies vaccine Sure Rab. Two batches failed quality tests. The company was directed to completely stop production.

Rabies is almost always fatal if not treated in time. Fake or substandard vaccines put lives at risk. The regulator's swift action sends a strong message that quality violations will not be tolerated.

Export Growth Despite US Slowdown

India's pharmaceutical exports showed resilience in September. Shipments to the United States declined by nearly 10 percent last year, resulting in a loss of about $1 billion. But overall exports still grew.

The gap was filled by strong growth in Latin America, Africa, and Europe. Brazil emerged as a key market. Pharmexcil is now focusing on widening India's export base rather than depending too much on one country.

India's pharma exports grew 6.8 percent in the April-June quarter to reach $8.1 billion. This shows the fundamental strength of Indian manufacturing.

PCD Pharma Franchise News: Green Cross Remedies Achieves Milestone with Blyte UP ORS

The PCD pharma franchise segment had its own share of good news in September. Green Cross Remedies achieved a significant milestone with its new launch, Blyte UP Liquid ORS.

Blyte UP is a WHO-recommended ORS tetra pack designed to address dehydration and electrolyte imbalance. Since its launch, the product has received an excellent response from distributors and healthcare professionals across India.

What sets Blyte UP apart is its great taste. ORS is often difficult to administer to children and elderly patients because of its salty flavor. Blyte UP solves this problem with a formulation that patients actually enjoy drinking. This simple improvement makes a big difference in real-world compliance.

The product has been particularly well-received in tier-2 and tier-3 cities where dehydration cases rise sharply during summer months. Franchise partners have reported strong repeat orders. Many have called it one of the best-performing products in their portfolio this year.

For Green Cross Remedies, this success reinforces its commitment to quality and innovation in the PCD segment. The company continues to expand its product range and franchise network across India.

Alembic and Apitoria Complete USFDA Inspections

Alembic Pharmaceuticals completed a USFDA inspection at its Bioequivalence Facility in Vadodara with zero observations. The inspection was conducted from August 31 to September 10. A clean inspection is a significant achievement for any facility supplying to the US market.

Apitoria Pharma, a subsidiary of Aurobindo Pharma, completed a USFDA inspection at its API facility in Telangana with one procedural observation. The company said it will respond within the stipulated timeline.

India Investigates Chinese API Dumping

The government initiated an anti-dumping investigation into imports of Montelukast Sodium from China. Montelukast is used in asthma and allergy treatment. The investigation follows a complaint from a domestic manufacturer.

This action reflects India's efforts to protect local API manufacturers from unfair trade practices. If dumping is confirmed, importers may face additional duties.

Monthly Highlights

• Raw material and packaging prices surge, threatening industry viability
• iPHEX 2026 generates $4.5-5 billion in potential business
• ₹1,600 crore approved for 41 pharma innovation projects
• CDSCO acts against misbranded rabies vaccines
• Ghaziabad company stopped from making rabies vaccine
• India's pharma exports diversify beyond US
• Alembic completes USFDA inspection with zero observations
• Apitoria Pharma completes inspection with one procedural observation
• Anti-dumping probe on Montelukast Sodium from China
• NATCO Pharma receives approval for rights issue
• Green Cross Remedies achieves milestone with Blyte UP ORS

FAQ

What happened in the pharma industry in September 2026?

September 2026 saw major developments on multiple fronts. The government approved ₹1,600 crore for innovation projects. iPHEX 2026 generated billions in business opportunities. Regulatory action was taken against substandard rabies vaccines. Most importantly, raw material prices continued to surge, threatening the viability of small and medium manufacturers.

Why are raw material prices rising?

The main reason is geopolitical disruption in West Asia. This region supplies many petrochemical-based materials used in drug manufacturing. Shipping routes have been disrupted, freight costs have jumped, and insurance premiums have increased. All these factors have pushed up input costs.

How will this affect medicine prices?

If manufacturers cannot recover the increased costs, medicine prices will have to rise. For scheduled drugs, the government allowed only a 0.6 percent price increase this year, which is far below actual cost increases. For non-scheduled medicines, companies can raise prices by up to 10 percent annually. Many companies are expected to implement maximum allowed increases.

What support does the industry need from the government?

The industry is asking for temporary price relaxations, freight subsidies, GST relief on key inputs, and faster processing of refunds. Associations representing MSME manufacturers have also requested emergency price ceilings and a crisis task force.

What is Blyte UP ORS?

Blyte UP is a WHO-recommended ORS tetra pack launched by Green Cross Remedies. It is designed to treat dehydration and electrolyte imbalance. What makes it special is its great taste, which improves patient compliance, especially in children.

Where can I find monthly pharma news?

Visit GreenCrossIndia.com/blog for regular monthly pharma news updates.

Conclusion

September 2026 was a month of mixed fortunes for the Indian pharmaceutical industry. The good news came in the form of innovation funding, export growth, and successful industry events. The bad news came from the raw material crisis that continues to squeeze manufacturers.

The government's support is critical at this juncture. If small and medium manufacturers shut down, the entire supply chain will be affected. And ultimately, it is the patient who will pay the price through higher medicine prices and reduced access to essential drugs.

The industry needs help to weather this storm. The time to act is now.

Disclaimer

The information shared in this article is compiled from publicly available and verified pharmaceutical industry news published during 01 September 2026 to 30 September 2026. The content is prepared only for educational and informational purposes. While every effort has been made to ensure accuracy, readers are advised to verify important announcements with the respective pharmaceutical companies or regulatory authorities before making any business or professional decisions.