Pharmaceuticals demand raise in prices

Input costs have risen due to rupee devaluation, rise in global price of raw material

LAHORE:

Pharmaceutical companies operating in Pakistan have demanded immediate, across-the-board price adjustments to deal with the impact of devaluation and inflation.

With input costs having witnessed a multi-fold increase due to the rupee’s devaluation and the global price of raw material rising, pharmaceutical companies are now finding it difficult to continue producing lifesaving medicines in the current environment.

Ferozsons Laboratories Limited, Chief Executive Officer, Osman Khalid Waheed warned that if the situation persisted, it would be detrimental for the companies. “These companies are vital for the country as they not only produce specialist medicines like oncology drugs, critical care and life saving medicines but also bring innovation and investment to the country. The current circumstances are beyond the control of the pharmaceutical industry and it has become completely unsustainable to manufacture medicines and ensure their availability.”

Representing the multinational pharmaceutical companies, the Pharma Bureau (PB) Executive Director Ayesha T Haq informed that the bureau has written a letter to the Federal Health Minister, the ministry’s secretary and chief executive of the Drug Regulatory Authority of Pakistan (DRAP) and requested to engage the cabinet and ensure that the pharmaceutical industry be allowed to increase drug prices.

“The price of active pharmaceutical ingredients i.e., raw material used in the manufacture of drugs, have increased exponentially. This, coupled with unprecedented increases in all the factors of production and the massive devaluation of the rupee,” stated the letter.

“This complete and frightening apathy on part of the government and DRAP will only result in the industry being forced to shut down production, which will result in massive shortages in the market,” warned the PB.

 

Published in The Express Tribune, February 10^th, 2023.

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