“The global pharmaceutical market is in a state of flux due to major restructuring, both in terms of the demand and supply. This presents a unique opportunity for the sector in Pakistan to take timely action by positioning itself strategically to enter the global drugs market. Pakistan is well poised to gain from opportunities provided under these shuffling global patterns of demand and supply”. International Trade Centre study titled Pakistan Export Strategy – Pharmaceuticals 2023-2027.

The Pharmaceutical market in Pakistan is estimated at over PKR 1.10 trillion, growing at a rate of over 15 percent according to analysts. There are over 700 pharmaceutical companies from Karachi to Khyber. In Pakistan, 80 percent of the domestic need for medicine is fulfilled by local manufacturing, whereas the other 20 percent is through imports. Most of the imports are essential and crucial drugs that cannot be manufactured locally, and at the present moment not licensed for manufacturing for specific reasons. Pakistan’s pharmaceutical exports growth hit a two-decade high of 34 percent in the fiscal year ended June 30, 2025, hitting sales of USD 457 million, whereas in 2024 the exports were USD 341 million.

Although the pharma sector is commended for its export performance, nevertheless, Pakistani companies should endeavour to seek new export markets. The pharma exports growth trajectory requires close liaison between the manufacturers and the regulator. The main destinations for Pakistan’s pharmaceutical exports are Afghanistan, the Philippines, Uzbekistan, Sri Lanka, Cambodia and recently Iraq. Formidable efforts must be made to carve out a substantial share of the African, Middle East and Central Asia markets. In the same manner as other Pakistani products, the menace of illicit exports of pharma products which in many cases lack quality assurance, use substandard raw material, and are unethically counterfeit, while bringing in undocumented foreign proceeds, result in creating a negative image of the pharma sector. It is recommended that a pharma oversight Council be formed consisting of representatives from SIFC, Anti-Narcotics Force, Army Corps X1 and Corps X11 based in KPK and Balochistan, as well as from the Pakistan Pharmaceuticals Manufacturers Association that would identify those in this illicit trade, seal their premises, and prosecute the owners or perpetrators. This illicit trade is estimated to be around USD 90-100........

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