Immediate impact on Indian pharma exports unlikely: Pharmexcil chairman Namit Joshi 

India’s pharma exporters body Pharmexcil does not anticipate any immediate impact of the 100% tariff on branded and patented pharmaceutical imports the U.S. President Donald Trump annnounced on September 25 (Thursday) that left the world trade already reeling under his other recent tariff decisions in a tizzy and scrambling for clarity.

“The proposed 100% tariff on branded and patented pharmaceutical imports is unlikely to have an immediate impact on Indian exports, as the bulk of our contribution lies in simple generics and most large Indian companies already operate U.S. manufacturing or repackaging units and are exploring further acquisitions,” Pharmexcil chairman Namit Joshi said in his first reaction to the announcement.

Prudent to remain prepared

Referring to the ongoing investigations under Section 232 in the U.S., to determine the effect of imports on the national security, he said they appear to be focussed elsewhere and have not taken a direct call on generics. “Nonetheless, it is prudent to remain prepared for future policy shifts and to build risk-mitigation strategies,” said Mr. Joshi, the elected head of the Pharmaceuticals Export Promotion Council of India, a body that functions under India’s Commerce Ministry.

Hours after the U.S President’s announcement, Mr. Joshi, in a statement, also sought to underscore the importance of India reinforcing its cost-efficiency advantage in bulk drugs and APIs — an area where the U.S. is likely to favour India over other suppliers — and simultaneously invest in next-generation opportunities such as complex generics, peptides, biosimilars and CAR-T therapies.

“Generics will remain relevant but will gradually mature; optimising costs and capabilities in these emerging categories will shape the next phase of growth,” he said, adding Pharmexcil will continue to engage with global stakeholders to ensure dialogue on these developments remains constructive and global supply of affordable, high-quality medicines remains uninterrupted.

Citing the importance of pharma supplies from India to customers globally, Mr. Joshi said “India has long been a cornerstone of the global supply chain for affordable, high-quality medicines, supplying nearly 47% of the U.S.’s pharmaceutical requirements, particularly in the generic drug market. Indian pharmaceutical companies continue to ensure the affordability and availability of essential medications — from life-saving oncology drugs and antibiotics to chronic disease treatments — helping stabilise global healthcare systems.”