**Executive Summary**
The report addresses the production and quality control of generic medicines in India. It notes the increasing sales value of medicines, mentions regulatory measures to ensure quality, and highlights the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) aimed at providing affordable generic medicines. A key action item is the compliance timeframe of 31.12.2025 for manufacturers with turnover of up to ₹250 crore, regarding revised Schedule M.
**Key Points / Main Content**
* **Sales and Production:**
* The total sales value of medicines produced in India increased by 26% from FY 2022-23 to FY 2024-25.
* **Quality Standards and Regulations:**
* All drugs, generic or branded, must comply with standards under the Drugs and Cosmetics Act, 1940.
* The Drugs and Cosmetics Act, 1940, was amended in 2008 to introduce stringent penalties for spurious and adulterated drugs.
* Special courts have been set up for trials related to offences under the Act.
* CDSCO has increased the number of sanctioned posts in the last 10 years.
* Regulatory provisions are periodically amended to ensure the quality, safety, and efficacy of drugs.
* Amendments to the Drug Rules 1945, have made it mandatory for applicants to submit the result of bioequivalence study along with the application for grant of manufacturing license of oral dosage form of some drugs.
* Manufacturing establishments are inspected jointly by drugs inspectors of the Central Government and the State Government before granting of a manufacturing license.
* Mandatory for applicants to submit evidence of stability, safety of excipients, etc. to the State Licensing Authority before grant of manufacturing license.
* CDSCO coordinates with State drug control organizations for uniformity in administering the Drugs and Cosmetics Act, 1940.
* **Barcode/QR Code Requirements:**
* Effective August 1, 2023, manufacturers of top-300 drug brands must print/affix barcodes or QR codes on packaging labels with specified data.
* Every active pharmaceutical ingredient (bulk drug) manufactured/imported to bear a QR code on its label at each level of packaging to facilitate tracking and tracing.
* **Good Manufacturing Practices (GMP):**
* Rules were amended on 28.12.2023 to revise the good manufacturing practices for pharmaceutical products under Schedule M.
* Revised Schedule M specifies quality system, risk management, and validation.
* Compliance with revised Schedule M is already in effect for manufacturers with turnover of over ₹250 crore.
* Manufacturers with turnover up to ₹250 crore have until December 31, 2025, to comply.
* **Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP):**
* Aims to provide affordable generic medicines through Jan Aushadhi Kendras (JAKs).
* 17,610 JAKs have been opened across the country as of 30.11.2025.
* JAKs provide medicines at 50%-80% cheaper rates than branded medicines.
* 2,110 types of medicines are part of the product basket.
* Medicines are procured from WHO-GMP certified suppliers.
* Each batch of drugs is tested at NABL-accredited labs before being dispatched to JAKs.
* Quality audit of vendor facilities is routinely conducted by the Pharmaceuticals and Medical Devices Bureau of India.
**Impact Analysis**
**Drug Manufacturers (especially those with turnover up to ₹250 crore):**
* **Impact:** Must comply with the revised Schedule M regulations by December 31, 2025, necessitating changes to their premises, plant, and equipment. Also, manufacturers of top-300 drug brands must print or affix barcodes or QR codes on packaging labels.
* **Action Required:** Review and implement changes to comply with the revised Schedule M standards and adhere to the barcoding/QR code requirements.
**Bulk Drug Manufacturers/Importers:**
* **Impact:** Must affix a Quick Response code on its label at each level of packaging to facilitate tracking and tracing.
* **Action Required:** Implement QR code on packaging labels.
**Consumers:**
* **Impact:** Increased availability of affordable generic medicines through the PMBJP and enhanced quality assurance measures for all drugs.
* **Action Required:** No direct action required.
**State Drugs Control Organizations:**
* **Impact:** Need to coordinate with CDSCO and ensure uniform administration of the Drugs and Cosmetics Act, 1940.
* **Action Required:** Participate in meetings of the Drugs Consultative Committee and enforce regulatory provisions.
**Licensing Authorities (Central and State Government):**
* **Impact:** Need to jointly inspect the manufacturing establishments before granting of manufacturing license.
* **Action Required:** Conduct joint inspections.
Key Entities Referenced
Drugs and Cosmetics Act, 1940: The primary legislation governing the quality and standards of drugs manufactured and sold in India.
Drugs Rules, 1945: Rules framed under the Drugs and Cosmetics Act, 1940, which are amended periodically to regulate the manufacture, sale, and distribution of drugs.
Pradhan Mantri Bhartiya Janaushadhi Pariyojana: A scheme aimed at providing affordable generic medicines through dedicated outlets known as Jan Aushadhi Kendras.
Central Drugs Standard Control Organisation (CDSCO): The national regulatory body for pharmaceuticals and medical devices, responsible for ensuring the quality and safety of drugs in India.
Ministry of Health and Family Welfare: A key ministry involved in framing policies and guidelines related to drug quality and public health.
Ministry of Chemicals and Fertilizers :
Department of Pharmaceuticals
Production of Generic Medicines
प्रव तथ: 12 DEC 2025 4:21PM by PIB Delhi
While generic medicines constitute the predominant proportion of medicines produced in India, separate
data on its production is unavailable. Based on the sales turnover data of Pharmarack, a company that
provides commercial intelligence on medicines sold in the country and the data of exports maintained by
the Directorate General of Commercial Intelligence and Statistics, the total sales value of medicines
produced in the country increased by 26%, from ₹3,22,116 crore in the financial year (FY) 2022-23 to
₹4,06,047 crore in FY2024-25.
The Department of Pharmaceuticals is not in receipt of any report regarding manufacturers of generic
medicines supplying empty or half-filled wrappers to bulk buyers. The Ministry of Health and Family
Welfare has informed that drugs manufactured in the country, irrespective of whether they are generic or
branded, are required to comply with the same standards for quality that have been provided under the
Drugs and Cosmetics Act, 1940 and the rules made thereunder. Based on quality testing of drugs in
government drug testing laboratories, cases of not of standard quality (NSQ) drugs are reported from time
to time and as and when reports regarding such cases are received, the same are investigated by the
licensing authorities concerned for taking action under the provisions of the said Act and rules, including
prosecution in a court of law.
The Ministry of Health and Family Welfare has informed that Government has not conducted any specific
study on the quality of generic medicines. However, a nation-wide survey (2014-16) was conducted to
assess the extent of NSQ/spurious drugs, in which a total of 47,012 drug samples were drawn from various
sources and the percentage of NSQ and spurious drugs from retail outlets was 3% and 0.023%
respectively.
Further, the Central Drugs Standard Control Organisation (CDSCO) and the Ministry of Health and
Family Welfare have taken the following measures to ensure production of quality medicines across the
country:
(i) The Drugs Rules, 1945 as amended on 17.11.2022 require with effect from 1.8.2023 that
manufacturers of top-300 brands of drug formulation products, as specified in Schedule H2 to the said
rules, print or affix bar code or Quick Response code on its primary packaging label or, in case of
inadequate space in primary package label, on the secondary package label that stores data or information
legible with software application to facilitate authentication. Such stored data shall include particulars
regarding unique product identification code, proper and generic name of the drug, brand name, name and
address of the manufacturer, batch number, date of manufacturing, date of expiry and manufacturing
licence number.
(ii) The said rules were amended on 18.1.2022 to provide that every active pharmaceutical ingredient
(bulk drug) manufactured or imported in India shall bear Quick Response code on its label at each level of
packaging that store data or information readable with software application to facilitate tracking andtracing. The stored data or information shall include the minimum particulars including unique product
identification code, batch no., manufacturing date, expiry date etc.
(iii) The said rules were amended on 28.12.2023 to revise the good manufacturing practices and
requirements of premises, plant and equipment for pharmaceutical products under Schedule M to the said
rules. The revised Schedule M specifies pharmaceutical quality system, quality risk management, good
manufacturing practices for pharmaceutical products, qualification and validation etc. The revised
Schedule M is already in effect in respect of manufacturers having turnover of over ₹250 crore. For
manufacturers with turnover of up to ₹250 crore, the timeframe for compliance has been extended up to
31.12.2025 vide notification dated 11.2.2025.
(iv) The Drugs and Cosmetics Act, 1940 was amended in 2008 to provide stringent penalties for
manufacture of spurious and adulterated drugs, and certain offences were made cognizable and non-
bailable.
(v) States and Union territories have set up special courts for trial of offences under the said Act, with a
view to facilitate speedy disposal.
(vi) The number of sanctioned posts in CDSCO has increased significantly over the last 10 years.
(vii) To ensure efficacy of drugs, the Drugs Rules, 1945 have been amended to provide that applicants
shall submit the result of bioequivalence study along with the application for grant of manufacturing
license of oral dosage form of some drugs.
(viii) The said rules have been amended to make it mandatory that before grant of manufacturing license,
the manufacturing establishment is inspected jointly by the drugs inspectors of the Central Government
and the State Government concerned.
(ix) The said rules have been amended to make it mandatory that applicant shall submit evidence of
stability, safety of excipients, etc. to the State Licensing Authority concerned before manufacturing license
is granted by such authority.
(x) CDSCO coordinates activities of State drugs control organisations and provides expert advice
through meeting of the Drugs Consultative Committee, held with the State Drugs Controllers, with a view
to ensure uniformity in the administration of the Drugs and Cosmetics Act, 1940.
Further, regulatory provisions under the said Act and the rules made thereunder are considered from time
to time for appropriate amendment, with a view to ensure quality, safety and the efficacy of drugs
manufactured in or imported into the country.
The government has also launched Pradhan Mantri Bhartiya Janaushadhi Pariyojana to make quality
generic medicines available at affordable prices to all. Under this scheme, dedicated outlets known as Jan
Aushadhi Kendras (JAKs) are opened across the country to provide medicines at 50%-80% cheaper rates
than branded medicines. A total of 17,610 JAKs have been opened across the country till 30.11.2025.
Under PMBJP, 2,110 types of medicines are part of the product basket covering all major therapeutic
groups such as cardiovascular, anti-cancers, anti-diabetics, anti-infectives, anti-allergic, gastro-intestinal
medicines, nutraceuticals, etc. With a view to ensure supply of quality medicines sold from JAKs, the
following measures are in place:
(i) Medicines are procured only from suppliers certified for World Health Organization – Good
Manufacturing Practices (WHO-GMP).(ii) Each batch of drugs supplied under the scheme is tested at laboratories accredited by the National
Accreditation Board for Testing and Calibration Laboratories (NABL) and only after passing quality tests,
medicines are dispatched to Jan Aushadhi Kendras.
(iii) Quality audit of the facilities of vendors is routinely done by the Pharmaceuticals and Medical
Devices Bureau of India.
This information was given by Union Minister of State in the Ministry of Chemicals and Fertilizers, Smt.
Anupriya Patel, in a written reply in the Lok Sabha today.
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