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India makes most of the generics sold globally, but its own drugmakers have in recent years become dependent on chemical makers in China for their raw materials.

India makes most of the generics sold globally, but its own drugmakers have in recent years become dependent on chemical makers in China for their raw materials.

Photographer: Dhiraj Singh/Bloomberg

India Hopes ‘Pharma City’ Will Break China’s Grip on Industry

India imports almost 70% of bulk drugs from its rival neighbor

On the edge of Hyderabad in southern India, a vast patch of arid shrub-land the size of about 14,000 football fields is becoming a testing ground for a model that could help wean the world off its dependence on Chinese drug ingredients. 

This empty site of the Hyderabad Pharma City, marked out by scuffed sign posts and a rubble-strewn access road is expected to attract about $8.4 billion and employ 560,000 people in hundreds of sprawling plants. Within two years once land is allotted, officials say, it will be rolling out vital raw ingredients for medicines like penicillin, ibuprofen and anti-malarials that make their way around the world.