Pakistan’s pharmaceutical sector has achieved a historic milestone, with exports reaching $457 million in FY25, reflecting a 34% year-on-year growth. This remarkable surge is largely attributed to the deregulation of non-essential drug prices, a move that has unlocked investment potential and improved global competitiveness for local manufacturers.

The policy shift has allowed pharmaceutical companies to invest in new product development, increase production capacity, and confidently explore international markets. As a result, the industry has attracted significant foreign investment, including a $12 million expansion by Haleon, a global healthcare leader, to scale up Panadol production in Pakistan.

The Special Investment Facilitation Council has played a crucial role in creating a business-friendly environment, helping position Pakistan as an emerging hub for affordable and quality medicine exports. The momentum is evident in the rising demand from key markets, including Afghanistan, the Philippines, Sri Lanka, Uzbekistan, and Iraq.

Moreover, Pakistani pharmaceutical exporters are now eyeing untapped regions including Kenya, Vietnam, Myanmar, and Thailand, where the demand for affordable generics and branded formulations is growing steadily.

Industry experts project that if the current pace continues, Pakistan’s pharmaceutical exports could reach $1.5 billion by 2030, provided regulatory support, international certifications, and logistics improvements continue to evolve. The growing confidence of global buyers, along with improved production quality and pricing flexibility, positions the country for long-term export-led growth.

The success of this export surge is also tied to Pakistan’s ability to diversify its product portfolio, adhere to international standards, and leverage technology to improve operational efficiency across the supply chain.

With the pharmaceutical sector increasingly contributing to national exports, stakeholders believe that sustaining this momentum will be key to enhancing foreign exchange earnings, boosting employment, and establishing Pakistan as a regional pharma powerhouse.