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How To Start Pharma Third Party Manufacturing Company In India

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How To Start Pharma Third Party Manufacturing Company In India - For any reputed pharma company fulfilling the requirement from raw material to final product is not an easy task. Therefore they get their products from other manufacturers which is called contract manufacturing or Third Party Manufacturing. Therefore many people want to invest their money in Third Party Pharma Manufacturing Business and search for How To Start Pharma Third Party Manufacturing Company In India.

Nowadays it is a very popular strategy for every business in which Third Party Manufacturers produce your products by using your brand name. Even MNCs are also preferring this concept to manufacture their products. Contract Manufacturing comes with lots of benefits and is an easy way to expand your business. Eraas International including one of the top 10 third party manufacturing firms provides the facility of outsourcing and complete facilities related to the design and development of medicines.

These firms not only handle the production and the labeling but also help in the pre-commercial as well as the clinic trials for approval and this will save both time and money. This company also provides PCD Pharma Franchise in Chandigarh and distributes high-quality pharma drugs to the healthcare sector of India. These pharma drugs are manufactured based on the requirements of customers from various healthcare verticals. Moreover, Eraas International is a well-known pharma company and is included in the Top 10 pharma third-party manufacturing companies in India.

How To Start Pharma Third Party Manufacturing Company In India

1. Choose Company Name:

  • The name of your company should Satisfy Business Identity Needs in the pharmaceutical market, it may end or start with bio, pharma, cure, healthcare, life sciences, lab, laboratories, etc words.
  • The company name should be Unique
  • Letters are very important so make them short and simple so that it is easily memorable and attracts attention. 
  • Never put any silent character in your business name. The silent character may create wrong pronunciation and misleading type images. 
  • The name should be technical. Pharma names should have suffixes or prefixes related to pharma and be unique in pronunciation and availability. 

2. Apply for Company Registration

Pharma companies can be registered in many ways. 

  • The drug license number is necessary
  • Goods and Service Tax Number is required.
  • Trade Mark registration is necessary for the safeguarding of your intellectual property.

You can register your company as:

  • One Person Company
  • Private Limited Company
  • Limited Liability Company
  • Public Company


  • DSC (Digital Signature Certificate)
  • DIN (Director Identification Number)
  • PAN (Permanent Account Number) Card
  • TAN (Tax Deduction and Collection Number)
  • Identity Proof 
  • Passport Photo
  • DSC Form Download Format
  • Address Proof 


  • Identity proof and address proof is an important and necessary document for all proposed directors of the company.
  • Generate a Digital Signature Certificate.
  • All directors should have a Directors Identification Number (DIN). One can apply online at www.mca.gov.in.
    PAN cards and TAN is mandatory.
  • NOC (Non-Objection Certificate) is required from the landlord. 
  • You have to choose a company name. It is recommended that you go with 5-6 names in the order which you prefer.
  • Last but not least after company name approval, then you have to apply for the incorporation of the company. Prepare a memorandum of association which will detail what is the company's operation, list of directors, etc. Apply this also with Form 1.

3. Apply for a Wholesale Drug License

A drug License is issued by any person appointed by the state government to grant wholesale drug licenses. Here we mention some mandatory documents that are required for a Drug License.

  • A certificate of experienced person or pharmacist registration certificate or appointment letter of a competent person
  • Copy of Address proof
  • In case of rented premises rent agreement is necessary.
  • Refrigerator purchase bill photocopy with complete address
  • Academic qualification certificate photocopy of EP/Pharmacist
  • Date of birth certificate photocopy
  • Affidavit of EP/Pharmacist
  • Partnership deed for partnership firm
  • A list of directors with address proof, a Memorandum of an article of association, and a registration form receipt for a private registration firm, etc.
  • Affidavit of proprietor/partners/directors
  • A plan of premises with a signature in 3 copies
  • Large storage facilities are required including cupboards with glass doors, racks, pallets, refrigerators, etc.

4. Apply for Goods and Service Tax Identification Number Registration (GSTIN)

GST was applied from 1st of July 2017 and it is an indirect tax that replaced all the existing indirect taxes. 

Required documents for GSTIN application.

  • Digital Signature Certificate (Class II)
  • Sales Tax Identification Number Copy
  • Address Proof of Business Entity
  • Proprietor/Partners/Directors Address Proof
  • Aadhaar Card, PAN, and Image, etc
  • Ownership Proof of Rent agreement
  • Partnership deed or memorandum of association/certificate of incorporation
  • Bank Statement and Bank Detail
  1. Set up Manufacturing Facilities

After obtaining licenses and permits you have to set up a manufacturing facility and need to acquire land, construct a building, and install machinery and equipment for the manufacturing process.

  1. Hire Staff

After setting up your manufacturing facilities you need to hire staff including chemists, quality control professionals, production supervisors, and administrative staff.

  1. Develop Products

Then you have to develop a product line that meets market demands and regulatory requirements
8. Find Clients

At last, you have to find clients who are interested in outsourcing their manufacturing needs and then develop market strategies to promote your business. So, you can use social media, digital marketing, trade shows, and other promotional tools.

Benefits of Starting Third Party Manufacturing Company in India

Outsourcing plays an important role in making a successful pharma business. Before starting a Third Party Manufacturing Business it requires careful planning compliance with regulation, and a commitment to quality and customer satisfaction.

     1. Reduced Cost

Third party manufacturing business is beneficial because it reduces the client’s manufacturing cost. After all, they don’t have to invest in their own production facilities, machinery, and equipment.

  1. Access to Specialized Expertise

Third party manufacturers are experienced and have expertise in production processes, quality control, and regulatory compliance.

  1. Increased Flexibility

Third party manufacturing provides flexibility to their clients in production capacity because they can increase or decrease their production requirements as per market demand.

  1. Faster Delivery 

These manufacturers allow clients to bring their products faster into the market as they don’t have to invest in developing their production facilities and processes. 


We hope this blog is beneficial for you while starting your Third Party Manufacturing Business. In this blog, we include all the important information about How To Start Pharma Third Party Manufacturing Company In India. Additionally Eraas International provides both PCD Pharma Franchise and Third Party Manufacturing services in India.

Frequently Asked Questions (FAQs)

Question 1 -  Who is the most reliable and trustworthy Pharma company in India?

Answer - Eraas International is the most reliable and trustworthy Pharma company in India.

Question 2- Does Eraas International provide a PCD Pharma Franchise In India?

Answer - Yes Eraas International provides a PCD Pharma Franchise in India.