Pakistan Will Finally Increase Medicine Production Under New Policy

The Drug Regulatory Authority of Pakistan (DRAP) has chalked out a comprehensive policy that envisions increasing the local production of raw material used in the manufacturing of medicines.

According to details, Pakistan produces only 15% of the raw material of medicines and the remaining 85% is procured from China and India. Only 23 pharmaceutical companies produce 15% of the country’s Active Pharmaceutical Ingredients (APIs)  used in medicines.

Under the policy, DRAP will also set up a one-window facility to streamline the process of acquiring licenses by the pharmaceutical companies for the indigenous production of APIs.

Besides catering to the national medicinal needs, the pharmaceutical companies will also be able to export the APIs all over the world. The global API market is valued at $180 billion and is expected to reach $250 billion by the end of 2024.

DRAP has formulated the policy on the directives of the Federal Cabinet. It includes both short-term and long-term measures to uplift the country’s pharmaceutical industry.

Short-term steps include reduction in customs duty on chemicals and machinery for the next five years and establishment of a facilitation desk for the guidance of investors. Long-term measures include constructing modern APIs mega parks to bring all relevant stakeholders on a single platform.