Indian Generics Unfazed by US Drug Price Reduction Order

The recent directive by the US government to reduce prescription drug prices within 30 days is unlikely to affect Indian generic drug manufacturers, according to Cipla MD and Global CEO Umang Vohra. He clarified that the Executive Order signed by US President Donald Trump targets branded drugs primarily.

Vohra mentioned uncertainty around the implementation details of the order but emphasized that the generic drug prices in the US are already low compared to global standards. Consequently, the mandate seems more applicable to the branded drug sector rather than affecting generics.

The CEO also addressed potential tariffs, stating there has been no disruption to their business in the US due to tariff-related issues. He emphasized Cipla's mission to offer affordable medication and noted that any forthcoming tariffs are likely to be minimal compared to those on other goods. Meanwhile, India's pharma sector remains exempt from US tariffs, underscoring its importance in delivering cost-effective medicines globally.

(With inputs from agencies.)