Tag: Pharmaceutical industry

  • Public health concerns mount as essential drug prices increase

    Public health concerns mount as essential drug prices increase

    The interim government announced on Wednesday a price adjustment affecting 146 essential drugs, aligning with the decision made by the federal cabinet on February 1, 2024.

    The Ministry of National Health Services and Regulations issued a notification invoking its authority under Section 36 of the Drug Act 1976, stating that all drugs and biological substances not included in the National Essential Medicines List are exempt from Section 12 of the act in the public interest.

    This decision stems from a federal cabinet meeting chaired by interim Prime Minister Anwaar ul Haq Kakar on February 1, 2024. The move, categorised under hardship, was endorsed based on the recommendation of the National Health Services Ministry. The ministry highlighted the escalating costs of raw materials for drug manufacturing in the global market.

    Officials from the National Health Services Ministry and the Drug Regulatory Authority of Pakistan (DRAP) informed the cabinet that citizens could report medicine unavailability through the pharmaceutical industry regulator’s online portal.

    Primarily targeting vital medications like those for cancer treatment, vaccines, and antibiotics, the decision, communicated through a drug price hike notification, was based on a proposal from the Drug Regulatory Authority, suggesting price increases for 262 medicines. However, the government opted to implement adjustments for 146 medicines crucial to saving lives.

    According to Brecorder, among the medicines listed for price increments, pharmaceutical companies are tasked with adjusting the prices of 116 medications.

    Significantly, the government will now oversee the prices of 464 medicines included in the National Essential Medicines List, ensuring the accessibility of critical medications to the public.

    The government’s decision to deregulate drug prices grants pharmaceutical companies autonomy to adjust prices independently, marking a significant shift in pharmaceutical pricing governance that may reshape the healthcare industry’s landscape.

    As stakeholders assess the implications, concerns regarding affordability and access to life-saving medications emerge. While the government seeks to balance the viability of pharmaceutical companies with public health interests, the consequences of these adjustments warrant scrutiny and debate.

    However, following the cabinet’s approval of the price increase, a shortage of essential drugs was observed in both the wholesale and retail markets. Drug distributors and retailers attribute this to manufacturers awaiting formal notification from the Health Ministry regarding the price increase before releasing supplies to the market.

    This practice has resulted in significant patient suffering, as Mohammad Samiullah Awan, a drug retailer, highlights. While the notification’s issuance may ensure medicine availability, it further burdens already financially strained consumers grappling with price hikes.

  • Medicine shortage in Lahore; which ones are being hoarded?

    According to Dawn.com, Lahore is experiencing a severe shortage of life-saving medicines with more than 120 drugs unavailable at the local pharmacies and medical stores. The shortage has resulted in stress among patients and attendants.

    These include medicines like Glucophage (for diabetics) that are prescribed at a large scale. In fact, an alternative to Glucophage for type 2 diabetes to control sugar levels, is also in short supply in local stores.

    Others include blood thinning medicines used by cardiac patients; Hepa-Merz used as a supportive therapy for liver diseases like jaundice, hepatitis (infection of the liver), hepatic cirrhosis (scarring/fibrosis of the liver).

    According to medical practitioners, medicines for diarrhea treatment are also in short supply even though the demand is high following rain spells. Severe stomach-related ailments can lead to complications and even death.

    Moreover, as per medical practitioners, widely-used drugs prescribed to children and adults for coughs are being sold in the black market and that pharmacy owners are hoarding commonly used medicines like Pyodine and Polyfax skin ointment etc to earn unjustified profits.

    Pharmaceutical companies are also struggling with drug manufacturing and supplying them against the approved rates due to the frequent dollar rate hike. This has also resulted in increased prices of raw material being imported from other countries.

    Additionally, medicines for Parkinson’s disease, epilepsy, and gynae-related complications are also short.

  • Pharmaceutical industry wants to raise drug prices by 25 per cent

    Pharmaceutical industry wants to raise drug prices by 25 per cent

    The government is given the deadline of June 30 to accept the pharmaceutical industry’s demands, or the cash-strapped sector will have no choice but to shut down.

    In order to prevent the collapse of the industry, Qazi Mansoor Dilawar, chairman of the Pakistan Pharmaceutical Manufacturers Association (PPMA), called for the refund of Rs40 billion that the government had collected as sales tax on the import of raw materials, the removal of the 17 per cent sales tax, and a 20 to 25 per cent increase in the price of medications during a press conference at the National Press Club.

    He also called for a 20 per cent increase in the maximum retail price (MRP). According to him, there is already a shortage of about 40 medicines on the market, and if immediate action is not taken, the shortage will grow alarmingly large.

    Dilawar claimed that the previous administration had pledged to refund the sales tax that had been imposed as a result of IMF pressure within 48 hours, but regretted that no mechanism had yet been established, preventing the refund of a significant Rs40 billion.

    The problem was made worse by a three-fold increase in the price of raw materials, a massive increase in freight costs, an increase in the price of fuel and electricity, and a drop in the value of the rupee. He added that 95 per cent of the raw materials used in the sector had to be imported.

    The president of the PPMA dismissed the notion that the industry was reaping huge profits by mentioning that many medications had costs that were higher than their retail prices.

    He asserted that about 70 per cent of Pakistani medications were less expensive than those found in India and Bangladesh.

    In response to a question, he stated that while there was much discussion about the increase in 600 drug prices after 13 years under the PTI government, there was little discussion of the decrease in 400 drug prices.

    The industry was not prepared to handle the challenge this time, according to the former PPMA chairman Qaisar Waheed, who also spoke about the recent increase in Covid-19 cases, particularly in Sindh.