The Pharmacy Formula the World Can't Quit

India is the “Pharmacy of the World”— not by accident, but by design.

The 1970 Patents Act flipped the script: instead of product patents (owning the molecule), India allowed process patents. Any company could legally manufacture the same drug using a different method — making patented medicines up to 99% cheaper.

Result:

•⁠ ⁠A Rs 1.2 lakh drug sells for Rs 1,500 in India

•⁠ ⁠Cipla’s HIV cocktail dropped from $15,000/year (US) to $200/year, saving millions of lives in Africa

•⁠ ⁠India now supplies 50% of all US generics and 2 in 10 generics globally

With 500+ FDA-approved plants, $30.4 billion in exports (5% of India’s total), and the ability to scale formulations at rock-bottom costs, India has become indispensable in the global supply chain — even as it imports most APIs from China.

The formula is simple, powerful, and hard to replicate: reverse-engineer fast + manufacture cheap + comply with global standards.

→ Full article: https://capitallettersangelone.substack.com/p/the-pharmacy-formula-the-world-cant