Local firms stop making vital meds
Local manufacturers have stopped production of life-saving medicines, including those for the treatment of multi-drug resistant (MDR) tuberculosis, different neurological disorders, various types of cancers and skin ailments, after their production cost surpassed their retail price.
The manufacturers have warned the government of an extreme crisis involving various medicines, including lifesaving drugs, if prices are not increased by the Drug Regulatory Authority of Pakistan (DRAP) as per its own recommendations.
Pharmaceutical companies have been unable to continue producing the drugs at present rates after a 40% devaluation of the rupee and an increase in fuel prices.
According to the chairman of the Pakistan Pharmaceutical Manufacturers Association (PPMA), Zahid Saeed, only 500 companies are actually producing medicines against 800 licence-holders.
He told a press conference that drug manufacturers are slowly closing down their industrial units due to the production cost.
The PPMA chairman informed the media in detail about the association’s struggle and the process that it had initiated for the rationalisation of drug prices after devaluation of the rupee and the proceedings in the Supreme Court.
The apex court, after months of hearing, directed the DRAP and the government on November 14 to issue notifications on the new prices of medicines within 15 days.
“However, no step was taken by the government in this regard,” he added.
“Similarly, the DRAP policy board was also directed by the Supreme Court to review prices of life-saving medicines in view of devaluation of the rupee against the US dollar within 15 days, but unfortunately, no step was initiated by the DRAP or the government.,” he said.
Saeed said that 90% of raw material for the production of drugs as well as packaging material was imported, and after the rupee’s devaluation, it was impossible for drug manufacturers to continue producing medicines at the current retail prices.
He warned that the closure of industries would lead to costlier drug imports.
Saeed urged the DRAP and the federal government to review drug prices immediately.
“Otherwise, the manufacturers would be compelled to increase medicine prices on our own as per DRAP’s formula and list given to the apex court,” he added.
“We are also planning to initiate contempt of court proceedings against the DRAP for refusing to comply with SC’s directives. In this regard, we will follow the legal course of action against the drug regulator,” he warned.