Yeah, but they allow generic (and now brand) drugs to be manufactured overseas basically outside of their regulatory regime and it's only vague fear of being blacklisted by the FDA that keeps Indian/Chinese drug makers somewhat honest. They fear the border spot checks.
https://en.wikipedia.org/wiki/Ranbaxy_Laboratories
Smaller markets (like the Seychelles) have weaker regulatory infrastructure and it's less important if those companies get blacklisted there, so they're getting the batches that don't look right and wouldn't pass a spot check.