India is rapidly positioning itself as a strategic hub for the global life sciences sector, with multinational pharmaceutical and healthcare companies increasingly consolidating high-value operations in the country.
According to The Economic Times, a new analysis by EY shows that 23 of the world’s top 50 life sciences companies currently operate nearly 100 Global Capability Centers (GCCs) in India. This number is expected to grow to 160 over the next five years, driven by the availability of a diverse talent pool, targeted policy incentives, and a maturing innovation ecosystem.
The report highlights that India’s appeal goes beyond cost advantages. Targeted policy support – ranging from capital expenditure subsidies to rental reimbursements and land rebates – has encouraged multinational corporations to expand operations. At the same time, India’s research and development ecosystem has matured, with global-quality contract research organizations (CROs), more than 100 healthcare-focused unicorns, and a strong base of startups supporting multinational collaborations.
Companies such as Novartis, AstraZeneca, GSK, and Eli Lilly have already expanded their GCC presence in India. Eli Lilly recently opened its second center in Hyderabad after launching one in Bengaluru, signaling confidence in India’s role as a strategic hub for innovation and global operations.
While GCCs were traditionally associated with back-end functions, EY notes a significant shift toward core activities. Penetration in drug discovery and development has reached 45 per cent, regulatory affairs 60 per cent, medical affairs 54 per cent, and commercial operations 50 per cent. Enabling functions such as finance, HR, supply chain, and IT have crossed 60 per cent penetration, underscoring the comprehensive role GCCs now play in corporate strategy.
“Life sciences multinationals are embedding their most strategic, knowledge-intensive work in India,” said Arindam Sen, Partner and GCC Sector Lead at EY India. “This is not about cost arbitrage anymore, but about driving end-to-end innovation and global competitiveness.”
The findings reinforce India’s growing role in shaping the global pharmaceutical and life sciences industry, with long-term implications for research, manufacturing, and market development strategies.
