Indian drug cos in no rush to make US shift

United States (US) President Donald Trump's executive order to promote domestic drug manufacturing and cut approval timelines for pharmaceutical plants is unlikely to have a direct impact on Indian exporters, according to industry executives and analysts.

- SOHINI DAS

Several senior pharma executives said decisions to expand US manufacturing footprints were strategic and would depend on specific products. The chief financial officer (CFO) of a major Indian drugmaker who did not wish to be named said high-margin products, or those developed and marketed in partnership with US firms or acquired from local players, might warrant consideration for American production. "This decision would vary from one company to another and also from product to product. It is all a question of viability," said the executive, adding his company had no immediate plans in that direction.

A pharma industry veteran said the push for local production in the US was a "natural thing to do". "Every country would want to create jobs and boost local industries. I don't see this impacting Indian exporters as such. We will take calls based on viability to shift production to the US," he said.

Trump's order instructs the US Food and Drug Administration (FDA) to "streamline" reviews and assist domestic manufacturers in early stages of plant development. It also calls for stricter enforcement of reporting on active-pharmaceutical-ingredient sources for foreign producers.