India, Sept. 1 -- In an interview to Rhythma Kaul, pharmaceuticals export promotion council of India, or Pharmexcil, vice chairman Bhavin Mehta speaks about challenges the country's pharma exports is likely to face in the wake of US tariffs threat looming large over the sector. He also talks about the impact of UK-India FTA (free trade agreement), India's export potential in regulated markets, and its dependence on APIs (active pharmaceutical ingredients) from other countries. Edited excerpts: While pharmaceuticals have been exempted from the recent tariff measures, any future imposition of a 25% duty would significantly impact India's competitive edge in the US market. The US is one of the largest destinations for Indian pharma exports, and such a move could disrupt supply chains, increase costs for patients, and dampen the growth momentum of the sector. We hope that continued engagement between the two governments will ensure that essential and life-saving medicines remain outside the ambit of trade barriers. If tariffs are extended to pharmaceuticals, the industry will need a multi-pronged approach to mitigate the impact. This could include engaging in constructive dialogue through trade bodies and government channels to seek exemptions for essential medicines, diversifying export markets to reduce over-reliance on any single geography, and enhancing value addition in formulations to absorb part of the cost increase. Strengthening partnerships with global supply chain stakeholders and investing in efficiency improvements will also be key to maintaining competitiveness in the face of such challenges. The India-UK FTA, by ensuring zero-duty access for nearly 99% of Indian pharmaceutical and medical device exports, offers long-term policy certainty and a timely boost to the Indian pharma sector. With the UK's pharma market expected to expand from around $45 billion today to $73 billion by 2033, and India's generics exports to the UK already surpassing $910 million in FY24, this pact will further cement India's footprint in UK drugstores and supply chains. For niche, high-quality manufacturers meeting global standards, it represents a significant growth opportunity and a true game changer. The government's PLI scheme and the development of bulk drug parks have already started showing results in reducing India's dependence on imported APIs. From Q1 this year, several facilities have begun producing key starting materials (KSMs), and as these capacities expand in the coming quarters, reliance on China is expected to come down further. While some critical APIs will still need to be imported in the short term, this local push is a major step towards self-reliance, stronger supply chain resilience, and greater control over costs and quality for the Indian pharma sector. India's pharmaceutical industry has established a strong reputation in regulated markets such as the US, EU, and the UK, driven by quality manufacturing, cost efficiency, and a robust pipeline of generic and specialty products. With growing demand for affordable medicines, ageing populations, and the increasing acceptance of Indian-made drugs, the export potential remains significant. Continued focus on regulatory compliance, complex generics, and value-added formulations will further enhance India's position as a trusted global supplier in these high-value markets....