India urges strong tariff negotiations with the U.S

Ravi Udaya Bhaskar, former head of India's Pharmaceuticals Export Promotion Council, has emphasized the importance of negotiating tariffs with the United States from a position of strength. He stated that India has been a significant contributor to the US healthcare system by supplying affordable generic medicines for over ten years. Bhaskar pointed out that the US economy saved $1.3 trillion from Indian generics between 2013 and 2022. He argued that the US benefits more from this arrangement, with Indian generics saving around $219 billion in 2022 alone. In contrast, India's pharmaceutical exports to the US totaled about $7.1 billion that year. Bhaskar stressed that the US should not impose tariffs on Indian drug exports, arguing that the current tariffs are unfair given the benefits they receive. He also noted that while increased tariffs could affect Indian manufacturers, the impact is likely to be minimal. This is due to India's unique position as the leading supplier of generic drugs and the number of US FDA-approved manufacturing plants in the country. Bhaskar said Indian companies provide 47% of all generic prescriptions in the US. Looking ahead, Bhaskar sees substantial growth potential for Indian drugmakers in the global market, which is expected to grow significantly by 2030. He highlighted that no other country can match India's capacity for generic drugs, and any reduction in supplies from India could lead to shortages in the US. Finally, he expressed the need for India’s pharmaceutical sector to evolve, enabling it to cater not just to local needs but to global demands. Bhaskar identified medical devices and patented medicines as areas of interest for American firms and warned that India relies heavily on imports for these products. He urged the Indian government to actively address these tariff issues to protect its pharmaceutical industry.