Small-molecule APIs
Active pharmaceutical ingredients: the purified molecules that make medicines work. India formulates the world's generics but still buys most hard-to-make inputs from China.
Fine chemicals · Pharmaceutical · No. 92
- Product family
- Feedstock: Oil, gas or coal
- not published as a global tonnage; individual APIs range from a few kilograms a year (oncology, peptides) to over 100 kt (paracetamol, metformin)
- HS 2941, 2942
India makes the world's generic pills, yet over 70% of the chemicals it imports to make them come from China.
Chart: Illustration: Small-molecule APIs
Where it comes from
Chart: Map of where it comes from
APIs are built in multi-step batch synthesis from petrochemicals, or by fermentation for antibiotics; most of the 168-308 kg of material used per kg is solvent and water.
Three things to know
- India's bulk drug PLI scheme, with a Rs 6,940 crore outlay, had approved 48 projects and commissioned 38 by December 2025.
- After India's PLI launch, China cut prices on some APIs by 40-50%, keeping pressure on new Indian plants.
- Paracetamol API jumped from Rs 262/kg in January 2020 to Rs 450/kg by March as Hubei locked down.
The journey
- 1 Basic chemicalsBenzene, toluene, phenol, methanol and solvents
- 2 Starting materialsRegistered building blocks, mostly from China
- 3 IntermediatesSeveral synthesis steps under GMP rules
- 4 Purified APICrystallised, dried and tested to pharmacopoeia
- 5 MedicinesTablets, capsules and injections worldwide