Piramal Pharma to focus on policy, not Trump tariff tweets: Nandini Piramal

Mumbai: Piramal Pharma will focus on policy actions rather than informal announcements as tariff concerns resurface, with the company betting that its manufacturing network across India, the US and the UK will help it navigate an increasingly uncertain global environment.

Responding to recent tariff-related social media comments by US President Donald Trump, chairperson Nandini Piramal said the company was watching developments closely but would respond only to concrete policy measures.

"I want to focus on the actions and what will happen when it happens because a lot of things can be tweeted," Piramal told ET. "Our network whether it's in the US, UK or India gives us a huge benefit because then we can help customers solve their problems. We are seeing some demand especially for the overseas sites, not just because of tariffs but also because of the improved biopharma funding."


She said the strongest opportunity continues to lie in the contract development and manufacturing organisation (CDMO) segment, where improving biopharma funding has translated into a healthier pipeline of customer enquiries. However, Piramal said customers are taking longer to convert those opportunities into spending.

"Once customer gets money, it takes six to eight months for them to spend it...we're seeing the leading indicators are improving and I think it's the new way of the world," she said.

The company expects the CDMO business to remain the biggest driver of earnings growth over the medium term, as operating leverage improves with scale.

The company's immediate priority is to expand existing businesses rather than pursue acquisitions, Piramal said.

Piramal Pharma expects to invest $125-135 million in capital expenditure this year, largely towards expanding existing facilities and strengthening differentiated capabilities, including antibody-drug conjugates (ADCs), high-potent active pharmaceutical ingredients, sterile injectables, on-patent pharmaceuticals and peptides.

While the company remains optimistic about demand, Piramal cautioned that macroeconomic uncertainty continues to pose risks.

"If interest rates rise, that makes biopharma funding in a way more precarious. That is something that we're watching. I think for us that's one of the biggest risks; and (also) more external volatility, whether it's the West Asia crisis or others."