Trump’s Drug Price Plan May Raise Medicine Costs Globally: GTRI

ENA Global 2025-05-13 16:29:21 New Delhi, May 13 (KNN) US President Donald Trump's proposal to reduce prescription drug prices in the US by 30 per cent to 80 per cent may have unintended global consequences, particularly for countries like India that currently enjoy lower pharmaceutical costs, according to the Global Trade Research Initiative (GTRI). The plan centres on an executive order implementing a Most-Favoured Nation (MFN) pricing policy, which GTRI Founder Ajay Srivastava believes will trigger a worldwide pharmaceutical price recalibration. It is likely to trigger a global price recalibration, with pharmaceutical giants intensifying pressure on lower-cost markets like India to raise their prices by tightening patent laws through trade negotiations, Srivastava stated. As pharmaceutical companies face new price constraints in developed markets, they are expected to target emerging economies to compensate for potential revenue losses and recover research and development investments. Srivastava emphasized that trade agreements are becoming the new battleground for pharmaceutical intellectual property rights, noting, The battleground is no longer just legal, it has moved to trade negotiations. India must respond with strategic clarity and unyielding resolve. India's continued resistance to TRIPS-plus provisions—stricter intellectual property protections often demanded in free trade agreements—has been crucial for maintaining affordable medication access. These provisions include data exclusivity, extended patent terms, patent linkage, and broader patentability rules that could impede generic competition. GTRI highlighted that India's current patent framework fully complies with the World Trade Organization's TRIPS (Trade-Related Aspects of Intellectual Property Rights) agreement. The system allows rapid approval of generic medications by utilizing existing clinical data, prevents patent evergreening, and maintains essential public health safeguards. From antiretrovirals for HIV to affordable cancer therapies, India's pharmaceutical industry is vital to global health, Srivastava added. The think tank emphasised, The world depends on India's generics. Preserving this model is not only in India's interest—it is a moral and global necessity. (KNN Bureau) 42059 https://knnindia.co.in/news/newsdetails/global/trumps-drug-price-plan-may-raise-medicine-costs-globally-gtri 2025-05-13 16:29:21 knnindia.co.in Trump’s Drug Price Plan May Raise Medicine Costs Globally: GTRI