Sun Pharma’s $12 billion Organon deal signals global push but India still faces R&D hurdles

Sun Pharma is close to completing a nearly $12 billion purchase of Organon, which would lift the Indian group into the world’s top‑25 pharmaceutical companies and expand its footprint to about 150 countries, with combined revenue projected at $12.5 billion.

The transaction underscores a growing ambition among Indian drugmakers to move beyond their traditional generics base and compete on a global scale.

Industry analysts, however, warn that India remains far from becoming a leading biopharma innovation hub, pointing to gaps in infrastructure, capital availability and supportive policy as major obstacles.

Today India still dominates generic production, supplying roughly one in five unbranded medicines worldwide, and operates a $55 billion domestic market supported by more than 10,000 manufacturers.