Prime Minister Narendra Modi is set to inaugurate a new Penicillin-G plant in Andhra Pradesh, marking a revival of domestic antibiotic production after three decades.

The facility, developed by Hyderabad-based Aurobindo Pharma, will produce 300 metric tonnes annually, significantly reducing India’s reliance on Chinese imports for this key antibiotic ingredient.

Located in a Special Economic Zone (SEZ) in Kakinada, the Penicillin-G plant is expected to ramp up production towards the end of the year.

Industry experts believe this move is crucial for India’s pharmaceutical sector, which has long been dependent on China for critical raw materials like Penicillin-G.

In addition to Penicillin-G, the plant will produce other essential components such as 6-Amino Penicillanic Acid (6-APA) and glucose, intended for domestic supply, captive use, and exports.

India’s last Penicillin-G plant shut down three decades ago, largely due to competition from China, which benefited from significant government support and lower production costs.