Budget 2026-27: Centre Announces ₹10,000 Crore To Boost Domestic Biologics Manufacturing

Presenting the Union Budget 2026 in the Lok Sabha today, Finance Minister Nirmala Sitharaman announced a new Biopharma SHAKTI initiative with an outlay of ₹10,000 crore over the next five years to promote domestic production of biologic medicines and biosimilars.

The outlay was proposed in light of India's disease burden shifting towards non-communicable diseases such as diabetes and cancer.

Announcing the new scheme, Sitharaman said, “India's disease burden is observed to be shifting towards non-communicable diseases like diabetes, cancer and autoimmune disorders. Biologic medicines are key to longevity and quality of life at affordable costs. To develop India as a global biopharma manufacturing hub, I propose the Biopharma SHAKTI with an outlay of ₹10,000 crore over the next five years. This will build the ecosystem for domestic production of biologics and biosimilars.”

Outlining the components of the programme, the Finance Minister said the strategy would include a biopharma-focused network with three new National Institutes of Pharmaceutical Education and Research and the upgradation of seven existing ones. She also announced that the initiative would create a network of over 1,000 accredited clinical trial sites.

On the regulatory framework, the Finance Minister said the government would strengthen the Central Drugs Standard Control Organisation to meet global standards and approval timelines through a dedicated scientific review cadre and specialists.