Tariffs on Indian pharma would be counterproductive, ultimately burdening American consumers, says Pharmexcil Chairman Namit Joshi.
As the world continues to grapple with the ongoing COVID-19 pandemic, the demand for affordable and quality healthcare has never been more pressing. In this time of crisis, the pharmaceutical industry has emerged as a lifeline, providing essential medicines and treatments to those in need. India, known as the pharmacy of the world, has been at the forefront of this effort, supplying affordable generic drugs to developing and developed countries alike.
However, recent discussions on imposing tariffs on Indian pharmaceutical products by the United States have caused concern among industry experts. Namit Joshi, Chairman of the Pharmaceuticals Export Promotion Council of India (Pharmexcil), has expressed his views on this matter, stating that such tariffs would be counterproductive and ultimately burden American consumers.
In a recent interview, Joshi highlighted the crucial role that Indian pharma plays in the global healthcare ecosystem. He stated that India is the largest supplier of generic drugs to the United States, accounting for about 40% of their total imports. These drugs, manufactured by Indian pharmaceutical companies, are not only affordable but also meet the highest quality standards set by the US Food and Drug Administration (FDA).
Joshi further emphasized that imposing tariffs on Indian pharma products would not only harm the Indian pharmaceutical industry but also have a negative impact on American consumers. The increased cost of medicines due to tariffs would ultimately burden the American healthcare system and its citizens. This would be especially detrimental for those who rely on affordable generic drugs for their healthcare needs.
Moreover, Joshi pointed out that the imposition of tariffs would also disrupt the supply chain of essential medicines, leading to shortages and in turn, affecting patient care. This would be a significant setback, especially during a global health crisis, where access to medicines is crucial.
The Pharmexcil Chairman also highlighted the fact that Indian pharma companies have invested heavily in research and development, leading to the development of innovative and life-saving drugs. These companies have also contributed significantly to the fight against COVID-19, with Indian manufacturers being among the first to develop and supply affordable versions of drugs like Remdesivir and Favipiravir.
Joshi stressed that the Indian pharma industry is committed to providing affordable and quality medicines to the world, and imposing tariffs would hinder this noble cause. He further added that Indian pharma companies have been able to keep their prices low due to the cost-efficiency of their operations and the availability of skilled manpower in India. Imposing tariffs would disrupt this model and make it challenging for these companies to continue providing affordable drugs.
In addition to the negative impact on American consumers, Joshi also highlighted the repercussions for the Indian pharmaceutical industry. He stated that Indian pharma companies would face a significant loss of revenue, leading to job losses and a slowdown in the industry’s growth. This would not only affect the industry but also have a ripple effect on the Indian economy.
Joshi also pointed out that the Indian government has taken several measures to ensure the quality and safety of pharmaceutical products exported from India. The government has set up regulatory bodies and implemented strict guidelines to ensure compliance with international standards. Imposing tariffs on Indian pharma products would undermine these efforts and call into question the credibility of Indian pharmaceuticals in the global market.
In conclusion, Joshi reiterated that tariffs on Indian pharma products would be counterproductive and ultimately burden American consumers. He urged the US government to reconsider this proposal and work towards strengthening the partnership between the Indian and American pharmaceutical industries. With collaboration and cooperation, both countries can work towards providing affordable and quality healthcare to people around the world.
