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Unlocking the Hidden Potential: The Role of Tier-2 Cities in the Pharmaceutical Industry in India

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By Taggd Editorial Team

July 18, 2023


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India’s pharmaceutical and healthcare sector is experiencing an unprecedented boom, positioning the cou ntry as a key player in the global market. With growth projections of around 754% between 2017 and 2060, India’s healthcare revolution is set to unlock massive potential for the pharma industry.

Pandemic-induced realities have made the nation determined to become a prominent global hub for research and development, and remarkably, it is Tier-2 cities, like Thane and Vadodara, that are leading this transformative journey.

In this article, we will analyze the hidden potential of Tier 2 cities in the pharmaceutical industry in India and explore how they are emerging as crucial drivers of innovation and progress.

Why Are Tier-2 Cities Attracting the Pharma Industry?

1. Lower Business Competition

With lower competition, the pharma sector can easily navigate regulatory procedures, attract skilled talent, and focus on delivering high-quality products and services without facing the intense competition often seen in Tier-1 cities. As a result, Tier-2 cities have become attractive destinations for market expansion.

2. Improved Infrastructure

Both the government and private entities have been investing in upgrading transportation networks, power supply, and overall urban development.

The improved infrastructure allows pharmaceutical companies in Tier 2 cities to operate more efficiently, ensuring seamless supply chains and better distribution of products across the country.

3. Growing Talent Pool

The adoption of remote working practices since the pandemic has expanded the geographical reach of talent pools, allowing pharmaceutical companies to access skilled professionals beyond metropolitan areas.

Additionally, the increase of educational institutions in Tier-2 cities has led to a growing pool of graduates with pharmaceutical and healthcare-related qualifications, further enriching the talent landscape.

4. Facilitation of Innovation Ecosystems

As manufacturing and production activities flourish in these cities, there is an increasing pool of skilled professionals and researchers, encouraging collaboration between academia and the private sector. This cross-pollination of ideas and expertise fosters an environment conducive to innovation and the development of novel drugs and healthcare solutions.

Key Roles in Demand in the Pharmaceutical Industry in Tier 2 Cities

With the rise of Tier-2 cities as the manufacturing and sales hub of the pharmaceutical industry in India, there has been an increase in demand for roles such as production and quality control officers, research and development associates, regulatory & compliance officers, pharmaceutical sales reps, and pharmacologists. 

Effective Talent Acquisition Practices in the Pharmaceutical Industry

1. Prioritizing Skill-based Hiring

Prioritizing skills over specific roles enables pharmaceutical companies to identify versatile candidates who can adapt to evolving industry needs and contribute effectively to various projects and departments. It’s imperative that companies have access to a wide pool of qualified candidates to ensure their talent pipelines are always aligned to meet the changing needs of their industry.

2. Structuring a Competitive CTC

Offering competitive compensation packages attracts top talent and enhances employee retention, ensuring that skilled professionals are motivated to stay on at Tier 2 cities instead of migrating to bigger metros. Employee expectations have significantly changed over the past couple of years, with an increasing focus on well-being, brand goodwill, a positive work environment, and flexibility of work. It’s important that companies design their compensation packages to reflect their employees’ aspirations and expectations.

3. Local Networking

Building connections within the local community and professional networks in Tier-2 cities helps pharmaceutical companies tap into a pool of talent residing near their operations, promoting regional talent development.

4. Digital Candidate Sourcing

Utilizing digital platforms for candidate sourcing has become a necessity as it expands the reach of job postings and allows companies to connect with a broader range of potential candidates, increasing the likelihood of finding the right fit for the organization. However, knowing which digital platforms to tap and where to invest your efforts is equally important to ensure you maintain an efficient high-impact hiring process.

The Path Forward

The COVID-19 pandemic has sparked a renewed focus on transforming India into a global hub for research and development (R&D) efforts and fostering innovation in the pharma sector.

Indian and international businesses are noticing India’s potential to lead in pharmaceutical R&D and production. The environment is robust and investments are ramping up, but finding talent remains a challenge for businesses. Recruiting in a nuanced industry like pharm requires deep industry insights and a powerful network of professionals with proven capabilities to hire efficiently. That’s where Taggd steps in.

As India’s leading RPO for high-impact hiring, Taggd successfully works with leading corporations across several industries to help them build a better talent pipeline for tomorrow, today. As a data-driven organization, we have deep inroads in the talent pool of pharmaceutical talent across the length and breadth of India with an active talent pool of over 11 lakh+ candidates in India.

To know more about how we can help you optimize your talent acquisition strategy, please drop us an email at!

Download the Decoding Jobs India 2023 Report on Pharmaceutical Sector here.

By Vishal Bhardwaj

Chief Digital Recruitments, Taggd