Pharmaceuticals & API 

Bangladesh’s pharmaceutical industry is one of its most advanced sectors, meeting 98% of domestic medicinal demand and expanding rapidly into global markets. With a projected CAGR of over 12%, the sector is expected to surpass USD 6 billion by 2025, positioning Bangladesh as a regional hub for generic and specialized formulations. Pharmaceuticals are exported to over 150 countries, including highly regulated markets such as the USA, UK, EU, Canada, and Australia. In the first ten months of FY2024–25, pharmaceutical exports rose by 3.46% YoY, reaching USD 177.42 million.

Home to 213 active companies, the industry is a major white-collar employer backed by a skilled manufacturing base and strong regulatory compliance. With the TRIPS waiver extended to 2033, Bangladeshi firms enjoy the advantage to produce and export patented drugs. Strategic investments in R&D, production capacity, and entry into regulated markets are driving the sector’s shift from import substitution to high-value export orientation.

Bangladesh imports over 85% of its API needs at an annual cost of USD 1.3 billion.  To build a self-reliant API ecosystem, the government is actively promoting API manufacturing as a prioritized export diversification sector along with pharmaceuticals. As Asia’s API market is projected to grow at 9% CAGR until 2027, Bangladesh is well-positioned to integrate into regional supply chains with its competitive cost base, policy support, and expanding production ecosystem.