Mansoor Sadiq

The pharmaceutical industry in the country is going through a difficult time owing to shortage of imported raw material and the price control mechanism by the government, said Syed Farooq Bukhari, Chairman of Pakistan Pharmaceutical Manufacturers Association (PPMA).

Talking to WealthPK, Farooq said that owing to increased production cost and currency depreciation, it has become difficult for the pharma sector to continue operations. He said the PAMA has so far received about 50 applications from different pharmaceutical companies to shut down their companies. He mentioned that four international pharmaceutical companies have already closed their production in Pakistan.

Farooq said the prices of medicines are controlled by the government. There has been no rise in medicine prices since 2018, while currency devaluation and shortage of imported raw material has further dented their business. He called upon the government to increase the prices of medicines by 40% across the board to enable the pharmaceutical companies to continue their operations.

He said the price mechanism, manufacturing cost and other related matters for pharmaceutical manufacturers are much better in Pakistan’s neighbouring countries, which means that Pakistani manufacturers cannot compete on the international market.  The PPMA chairman pointed out that the prices of all amenities of life have increased in Pakistan up to 60%, but pharmaceutical manufacturers can’t increase prices on their own, and they are not getting any subsidy from the government either.

The Economic Coordination Committee (ECC) of the Federal Cabinet in its recent meeting deferred summaries of the Ministry of National Health Services, Regulations and Coordination on the fixation of maximum retail price (MRP) of 54 new drugs and increase in prices of 119 drugs.

The committee presided over by Finance Minister Ishaq Dar considered another summary of the ministry for the MRP of Remdesivir 100mg injection, and decided not to increase the price. The PPMA chairman said the shortage of certain medicines in the market encouraged black marketing. He advised consumers to insist on the MRP printed on the pharmaceutical products and refuse to pay higher prices to discourage black marketing.

Farooq said the pharmaceutical sector is one of the largest tax payers and job-creating industries in the country, but it is not getting incentives from the government which it deserves. He called upon the government to pay attention to the problems of the pharmaceutical industry to save it from collapse.

Credit : Independent News Pakistan-WealthPk