Union Budget 2026 proposes Rs 10,000 crore push for biopharma sector

The Union Budget 2026 has placed a sharp focus on strengthening India’s biopharma industry, with Finance Minister Nirmala Sitharaman announcing a Rs 10,000 crore allocation to position the country as a global biopharma hub on Sunday (February 1).

Presenting the Budget, Sitharaman said the government will roll out the Biopharma Shakti initiative with an outlay of Rs 10,000 crore spread over five years. The programme aims to significantly boost domestic biopharmaceutical manufacturing and research capacity, aligning with India’s broader push to scale up production in seven strategic and frontier sectors.

A key component of the proposal is the creation of a nationwide network of 1,000 accredited clinical trial sites. This is expected to strengthen India’s clinical research ecosystem, reduce dependence on overseas trials, and make the country more attractive for global biopharma investments. The move is also aimed at accelerating the development and testing of new drugs and therapies within India.

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Sitharaman said the emphasis on biopharma is driven by changing health challenges. India’s disease burden is increasingly shifting towards non-communicable diseases such as diabetes and cardiovascular conditions, requiring advanced therapies, biologics and sustained innovation. Building a robust biopharma manufacturing base, she said, is critical to meeting these emerging healthcare needs.

Highlighting the government’s reform agenda, the finance minister said comprehensive measures have been undertaken to accelerate growth and improve productivity across sectors. More than 350 reforms have been rolled out in recent times, she noted, adding that the “reform express” is firmly on track.

With Biopharma Shakti, the government aims to combine health advancement with industrial growth, positioning India as a competitive player in the global biopharmaceutical value chain while addressing domestic healthcare priorities.