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Top Indian States for Starting a Profitable Pharma Franchise Business

The Indian pharmaceutical industry is one of the fastest-growing sectors, offering immense opportunities for entrepreneurs looking to launch a pharma franchise or third-party manufacturing business. With increasing demand for quality medicines, strategic location selection can significantly impact success. Here’s a look at the best states in India to establish a PCD pharma franchise or collaborate with third-party manufacturers, along with key growth areas.

1. Himachal Pradesh (Baddi – The Pharma Hub)


Himachal Pradesh, particularly Baddi, is a prime destination for pharma franchise companies in Baddi and third-party manufacturing. The state offers:
  • Tax benefits & subsidies – Himachal Pradesh provides excise duty exemptions, attracting major pharmaceutical companies.

  • High-quality infrastructure – Baddi has over 500 pharmaceutical units, making it a hub for pharma third-party manufacturing in Baddi.

  • Growing export potential – The region supplies medicines globally, ensuring steady demand for PCD pharma franchise businesses.


  • Key Opportunity: Entrepreneurs can partner with pharma PCD companies in Baddi to leverage cost-effective manufacturing and distribution networks.

    2. Chandigarh (The Emerging Pharma Powerhouse)


    Chandigarh is a preferred choice for pharma franchise in Chandigarh due to its:
  • Strong regulatory compliance – The city hosts some of the best pharma companies in Chandigarh with WHO-GMP certified facilities.

  • High demand for allopathic medicines – The urban population drives the need for allopathic PCD pharma franchise products.

  • Strategic connectivity – Proximity to Punjab, Haryana, and Himachal ensures seamless distribution.


  • Key Opportunity: Partnering with a top PCD pharma company in Chandigarh ensures brand credibility and a wide product portfolio.

    3. Gujarat (The Bulk Drug Capital)


    Gujarat is a leader in pharma third-party manufacturing, contributing nearly 28% of India’s pharmaceutical output. Key advantages include:
  • Cost-effective production – The state has a strong presence of API manufacturers, reducing raw material costs.

  • Export-oriented growth – Gujarat’s ports facilitate easy international trade, benefiting PCD franchise owners.

  • Government support – Policies promoting pharma startups make it ideal for new entrants.


Key Opportunity: Entrepreneurs can collaborate with established manufacturers to supply high-demand generics and specialty medicines.

Final Thoughts


Choosing the right state for a pharma franchise or third-party manufacturing business depends on factors like infrastructure, incentives, and market demand. Baddi, Chandigarh, and Gujarat stand out as top choices due to their established pharma ecosystems. Whether you opt for a pharma PCD in Chandigarh or third-party manufacturing in Baddi, aligning with reputed companies ensures long-term success in India’s booming pharmaceutical sector.

Created on : 2025-07-10 09:20:18

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