Innovating for impact: The sustainability imperative for pharmaceuticals and life sciences
Overview
India’s pharmaceutical and life sciences sector is at a defining juncture, expanding its global footprint while embracing sustainability as a core business imperative. Stakeholders across the value chain—regulators, investors, customers and the society at large—are demanding transparency and climate action. Forward-looking enterprises are responding through green chemistry, renewable energy adoption, circular economy practices and inclusive governance, positioning sustainability as a driver of innovation and resilience rather than a compliance burden.
This knowledge paper, jointly developed by Confederation of Indian Industry (CII) and Deloitte India, outlines how ESG practices are reshaping the pharmaceutical industry’s growth trajectory. It highlights evolving global disclosure standards, material ESG topics and the urgent need for decarbonisation in a sector that is among the most energy-intensive.
Shailesh Tyagi Partner and Leader – Climate Change & Sustainability, Deloitte South Asia
“As global expectations around sustainability continue to evolve, India’s pharmaceutical industry is building on a strong foundation of responsible practices and now stands at a defining moment to accelerate its leadership. With round-the-clock operations and a heavy reliance on cleanrooms and HVAC systems, the sector is among the most energy-intensive, making transformation both necessary and timely. A significant share of emissions sits beyond factory boundaries, across Scope 3 activities such as suppliers, logistics, and packaging. As global buyers increasingly link contracts to climate performance, companies must strengthen supplier readiness, improve data quality, and take a longer-term view on sustainability investments. By embedding ESG into core business decisions, from energy choices to supplier engagement, India’s pharma ecosystem can protect market access, attract sustainable capital, and contribute meaningfully to the country’s net-zero journey.”
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Conclusion
ESG principles are now central to competitiveness, investor confidence and regulatory compliance. As global disclosure standards tighten and net-zero commitments accelerate, Indian pharmaceutical and life sciences companies must move from reactive compliance to proactive leadership.
Joydeep Ghosh
