Pharma exports more than double in seven years

Bangladesh's pharmaceutical exports have more than doubled over the past seven years, reaching $213 million in the just-concluded fiscal year 2024-2025, thanks to the entry into fresh markets and a wave of new products.

However, on a year-on-year basis, the latest export figure was just 4 percent higher than the $205 million generated in the preceding fiscal year of 2023-24.

Industry insiders remain confident that the momentum would prevail as Bangladeshi pharmaceutical firms are expanding into new and emerging markets.

Seven years ago, the country used to send medicines to around 140 countries. This has now risen to 166 nations across the globe.

With continued investment, regulatory compliance, and a growing skilled workforce, the local pharmaceutical sector is poised not just to sustain but to accelerate its export growth in the years ahead, they said.

"The key reason for this growth is the introduction of new molecules and medicines, which are now being produced locally," said Zahangir Alam, chief financial officer of Square Pharmaceuticals PLC.

"This trend is likely to accelerate in the coming years," he said.

Alam informed that the new export destinations included Uzbekistan, Kazakhstan, and Kyrgyzstan, all members of the Commonwealth of Independent States (CIS) in Central Asia.

"These CIS countries are becoming significant markets for Bangladeshi medicines," he added.

He explained that regulatory procedures in many CIS nations have become more streamlined, enabling Bangladeshi pharmaceutical companies to register and launch their products faster than before.

Demand for affordable yet high-quality generic medicines is rising in these regions, creating new opportunities for Bangladeshi exporters to gain a bigger market share, added Alam.

"In addition to the CIS markets, we are also exploring potential in parts of Africa and Latin America," he said.

"Our strategy involves not just expanding geographically but also diversifying our product portfolio to include specialised therapeutic segments," he said.

Wasim Haider, manager for international marketing at Beximco Pharmaceuticals Ltd, said they have faced significant hurdles over the past three years due to volatile exchange rates of the US dollar and political uncertainties.

However, Beximco Pharmaceuticals Ltd attained a notable year-on-year export growth of around 25 percent to 30 percent last fiscal year, he said.

He also cited new partnerships in previously untapped markets as another key driver behind the growth.

Furthermore, management and staff have put in an extraordinary effort to maintain financial solvency amid industry headwinds, said Haider. "Everyone, from factory workers to head office staff, contributed, which has helped boost our business."

He expressed optimism that, despite prior setbacks, the company was now on a stronger growth trajectory for the remainder of this calendar year.

Industry analysts note that Bangladesh's pharmaceutical sector has been increasingly diversifying its product range and investing in compliance with international regulatory standards.

Such factors have helped local companies gain a stronger foothold in overseas markets despite global economic uncertainties, they said.

"We're hopeful that the next doubling will come about faster," said Arefin Ahmed, executive director (marketing) of Incepta Pharmaceuticals Ltd.

Pharmaceuticals differ from other export products like garments because drug registrations can take two to five years, he said.

Moreover, entering regulated industries is a high-stakes endeavour that requires meticulous planning, deep industry knowledge, and a robust strategy, he said.

Over the past decade, leading Bangladeshi pharmaceutical firms have invested heavily in modern factories, quality-control labs, and skilled personnel, enabling them to meet strict regulatory standards in markets such as the US, Europe, and Australia, said Ahmed.

"Ten years ago, we couldn't do what we can do today. We have modern equipment, skilled scientists and pharmacists, and the know-how to produce high-quality medicines," he said.

He also pointed out that a growing pool of pharmaceutical graduates was contributing to the sector's progress.