Sanjaya Mariwala outlines how the India–UK Free Trade Agreement presents a strategic opportunity for India’s nutraceutical sector to scale, provided it is supported by policy alignment, scientific investment, and global positioning
The India–UK Free Trade Agreement may not name nutraceuticals directly, but its wider push on healthcare trade and regulatory ease opens a timely opportunity for one of India’s fast-growing sectors to scale globally.
India is not new to preventive health. The country draws reference from millennia-old traditions of Ayurveda, supported by a vast base of over 6,000 medicinal plants. What’s changing is global appetite—consumers are actively looking for plant-derived, clean-label, and science-backed alternatives. India has the ingredients, the tradition, and increasingly, the science. What it now needs is scale, credibility, and international presence.
India’s nutraceutical market, with a current size of US$8 billion, is expanding steadily—however, its full potential remains untapped. The target of reaching the US$100 billion goal in 2047 comes into focus—provided we integrate trade strategy, scientific validation, simplifying regulation, and global brand positioning.
Our Heritage, the World’s Opportunity
Indian botanicals like ashwagandha, turmeric, and moringa are no longer niche— they are becoming central products within global wellness store shelves. Traditional is suddenly trending. Global trends, however, can be surfed by institutional backing. The FTA offers tools to help the nutraceutical industry navigate the path through reduced tariffs on processed food, smoother regulatory procedures, and increased professional mobility.
These are levers Indian nutraceutical firms can pull to enter markets like the UK with greater ease and lower costs. What’s needed now is the policy nudge to match this trade opportunity.
From Healthcare Trade to Wellness Leadership
The FTA also fits within India’s larger trade ambitions of doubling bilateral trade with the UK to $120 billion by 2030 and pushing high-employment sectors into global markets. Pharmaceutical and medical device exports to the UK alone touched $910 million in FY24, with double-digit growth. The nutraceutical industry, though structurally different, can follow a similar growth arc—if backed by serious domestic reform.
India has the biodiversity, manufacturing capacity, and cost advantage to lead the evidence-based, plant-focused nutrition space. But that leadership won’t happen by default. It will require deliberate action—policy alignment, scientific investment, and global positioning—to turn potential into scale.
Getting to $100 Billion Needs More Than Goodwill
If India is to lead the world in holistic wellness, five clear priorities demand government attention:
- Regulatory Alignment and Infrastructure Upgradation: India must accelerate alignment of its regulations with global standards, particularly those of the UK and EU. Harmonisation in labelling norms, mutual recognition of safety standards, and adoption of tech-enabled compliance will ease global trade. Simultaneously, lab testing and certification infrastructure must be scaled up as per the global standard and made more efficient. A nationwide network of labs supported by AYUSH and FSSAI could enable faster approvals that are recognised globally, while also raising quality standards.
- Clinical Trials and Validation: Lack of large-scale clinical trials remains a structural weakness. The Indian government should collaborate with industry and academia to form R&D partnerships that can generate the evidence needed to build credibility in global markets. Dedicated funding for trials on Ayurvedic and botanical interventions should be viewed as an investment in building global trust.
- Joint Research and Innovation: The FTA is a good basis for R&D alliances. Nutraceutical firms—especially start-ups—should be encouraged to co-develop solutions with UK institutions, particularly in areas like immunity, metabolic health, and ageing. These are not just high-need domains; they’re also where plant-based solutions hold the most promise.
- Financial Incentives and Export Support: Production-Linked Incentives (PLI) and RoDTEP should be expanded to cover nutraceuticals. Export-ready MSMEs must get working capital, venture funding, and support for building compliant global supply chains. A competitive domestic ecosystem is the best springboard for international success.
- Building “NutraBharat @2047”: Beyond policy and funding, India needs a concerted branding push. “NutraBharat @2047” must become a global campaign—visible in exhibitions, e-commerce platforms, retail collaborations, and diplomatic missions. Trade attachés should actively promote the sector, not as an adjunct to pharma or food, but as a serious category in its own right.
To ensure Indian firms benefit without being overwhelmed, safeguards are essential. These should include:
- Strict Rules of Origin to prevent misuse of zero-duty concessions
- Gradual implementation of new standards to give MSMEs breathing room
- Continued preference for Indian bidders in government procurement
- Stronger IP protections, including digital registries and global trademarks for traditional formulations
Free trade shouldn’t lead to more vulnerability. Strategic resilience must accompany strategic openness.
This is a Moment to Act
The India–UK FTA is more than a trade deal. It’s a runway for high-potential sectors like nutraceuticals to take off globally. But the industry won’t get there on policy inertia or market optimism alone.
This is a sector where India already has heritage, credibility, and momentum. What it needs is conviction—from government, industry, and investors—to shape a future where “Made in India” becomes synonymous with trusted, plant-powered, clinically validated wellness.
That $100 billion goal is not a dream. It’s a decision.
