The Ministry of Health and Drug Regulatory Authority of Pakistan (DRAP) has sent a summary to Federal Government seeking an increase in retail prices of medicines by 350 percent.
The move comes following the pharma industry’s threat to close down factories in a week.
According to details, the Health Ministry and Drug Regulatory Authority forwarded a summary to the federal cabinet, seeking a 350 percent increase in the prices of 119 medicines.
The summary forwarded to the federal cabinet is seeking an increase in prices of medicines for typhoid, malaria, colds, and other diseases. Earlier the pharmaceutical companies threatened the Government and announced to halt of production in the country over an increase in rates of dollars and raw materials.
The companies pointed out that they were facing difficulties in manufacturing drugs due to the high cost of electricity and gas. “After a week, drug production and their supply will no longer be possible for pharmaceutical companies,” they added.
It is pertinent to mention here that Pharmaceutical Manufacturers (PPMA) penned a letter to the Finance Ministry demanding an increase in the prices of medicines.
Earlier in January, the pharma industry warned that the medicine shortage crisis will likely worsen as pharmaceutical firms run out of raw materials.
The rupee has also fallen, inflation has reached high levels for decades and Pakistan’s economy has collapsed alongside a political crisis. However, devastating floods and a global energy crisis have added additional stress and harmed the country’s economy.
A shortage of imported raw materials forces Pharmaceutical companies and other industries to shut down their operations. Due to a shortage of foreign reserves, thousands of containers containing essential food items, raw materials, and medical supplies have been held up at the Karachi port.
Banks are refusing to issue new letters of credit to importers because they don’t have enough dollars.