"Understand India's Pharmaceutical Needs": US On Raw Materials Needed For COVID-19 Vaccine

COVID-19 Pandemic: President Joe Biden and his predecessor Donald Trump had invoked the war-time Defence Production Act that leaves US companies with no option but to give priority to the production of COVID-19 vaccines and Personal Protective Equipment (PPEs) for domestic production.

The Biden administration has conveyed to New Delhi that it understands India's pharmaceutical requirements and promised to give the matter a due consideration, observing that the current difficulty in the export of critical raw materials needed to manufacture COVID-19 vaccines is mainly due to an Act that forces American companies to prioritise domestic consumption. President Joe Biden and his predecessor Donald Trump had invoked the war-time Defence Production Act (DPA) that leaves US companies with no option but to give priority to the production of COVID-19 vaccines and Personal Protective Equipment (PPEs) for domestic production to combat the deadly pandemic in America, the worst-hit nation. Since the US has ramped up the production of COVID-19 vaccines mostly by Pfizer and Moderna so as to meet the goal of vaccinating its entire population by July 4, the suppliers of its raw material, which is in high demand globally and sought after by major Indian manufacturers, are being forced to provide it only for domestic manufacturers. Among other things, the DPA, that was enacted in 1950, authorises the US President to require businesses to accept and prioritise contracts for materials deemed necessary for national defence, regardless of a loss incurred on business.