Panaji : The Goa Pharmaceutical Manufacturers Association (GPMA) on Monday said the state’s pharmaceutical industry, which is an export hub, is unharmed so far by the US tariffs on the sector.
“The tariffs are for branded drugs; pharma companies in the state export generic products,” a GPMA official explained, stating that the tariff announcement has left companies flustered.
There is no clarity as to how the scenario will unfold in the future, the official said.
According to the pharma industry body, presently 95 per cent of medicine exports from India to the US are generic products and therefore not affected by the tariffs.
Stakeholders in the pharma industry said the US tariffs will impact companies that export to the country.
“Not all manufacturers here have US FDA-approved manufacturing facilities as the certification process is strict,” they said.
Geno Pharmaceuticals Pvt Ltd founder Dilip Salgaocar reckoned that the tariffs are unreasonable because on one hand the American government wants companies to have factories in the US and on the other hand it is not issuing visas to Indians to work in the factories.
Goa’s pharmaceutical exports increased by 22 per cent to Rs 6,527.1 crore in 2023-24. The state ranked sixth in all-India exports of pharmaceuticals with an overall share of 5.6 per cent in the total exports valued at Rs 1,15,798.6 crore in 2023-24.
The state is a recognised hub for formulation production with practically all the small, medium and large sized pharma companies belonging to MNCs, the Indian private sector as well as the public sector having manufacturing facilities here.
Companies in the state with US FDA-certified factories include Cipla Ltd, Indoco Remedies Ltd, Sun Pharmaceuticals and Lupin.
The US announced a 100 per cent tariff on branded and patented drugs exported from India. The tariff was supposed to come into effect from October 1.
However, presently it is on hold until new laws are made.
