Now Reading: Biocon Sees US Generic Drug Tariffs as Negotiating Tactic
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Biocon Sees US Generic Drug Tariffs as Negotiating Tactic
Biocon executive chairperson Kiran Mazumdar-Shaw said the company sees proposed US tariffs on generic drugs as a negotiating threat rather than a likely policy outcome. She told Mint that steep duties would…
The Story in Brief
Biocon executive chairperson Kiran Mazumdar-Shaw said the company sees proposed US tariffs on generic drugs as a negotiating threat rather than a likely policy outcome. She told Mint that steep duties would raise healthcare costs in a country where generics and biosimilars account for about 90% of prescriptions but only 10% of drug spending. Biocon is taking a wait-and-watch approach while considering partnerships for US manufacturing, including insulin fill-and-finish and biologics production through Syngene.
The company reported a 10% rise in June-quarter revenue to Rs 4,336 crore and a 245% increase in net profit to Rs 145 crore. Its biosimilars business grew 16% year-on-year and contributed 83% of quarterly revenue.
The Indian Opinion
Claims that the proposed duties are either harmless political theatre or an immediate disaster both run ahead of the evidence. The US may want more local production, but replacing established supply chains quickly could make medicines dearer. Biocon’s partnership approach is more practical than rushing into costly new plants. The useful test is whether Washington publishes a workable tariff schedule and clarifies whether biosimilars are covered before 2028.
Source: livemint.com
This story was synthesised by AI from the source linked above.
