Govt urged to up essential drug prices

Around two dozens of local pharmaceutical companies have urged the government to increase prices of some essential drugs on the plea that raw materials of those have marked a sharp rise in the global market.
“As the prices of raw materials have increased sharply in the global market we are struggling to cope with the high cost of production and we are unable to sell the drugs at a price we offered earlier,” said Ataul Haque, general manager of Bimco Pharmaceuticals Ltd.
He said they will have to suspend production of some specific drugs if the Drug Administration does not endorse any increase in the prices of those items.
When contacted, this view was echoed by some top executives of some pharmaceuticals.
Nazmul Hassan, chief executive officer of Beximco Pharma, suggested the government review the maximum retail prices of 109 essential drugs, prices of those were fixed 14 years back.
“The supply of essential drugs may face a severe setback on the suspension of production by the medicine companies, who have been facing a huge loss,” Nazmul added.
According to the Bangladesh Association of Pharmaceutical Industries (BAPI), 90 percent of domestic demand for medicines is met by these essential drugs, prices of which are controlled by the government.
The prices of raw materials for Amoxicillin, Paracetamol, Vitamin B Complex, Domperidone, Antacid and Pheniramine rose three to four folds in the international market.
BAPI President M Shafiuzzaman said the association is now in a parley with the government to review the prices of the drugs in accordance with the prices of raw materials.
Meanwhile, drug dealers and medical representatives fear a crisis of some life saving drugs in the market if the present situation continues.
The Directorate of Drug Administration is learnt to have formed a committee to consider the proposal put up by the pharmaceutical companies.
There is a fear among experts that a good number of companies may not maintain quality of products, if there is no improvement in the situation.
“Many companies may compromise quality of products to cope with the rising raw materials prices if the situation remains unchanged and it would be suicidal for the industry as a whole,” said Aminul Islam, a pharmacist.
He said it will also hamper the export potentials as the situation will send a wrong signal to potential buyers.
Also, as crude oil price has touched $135 per barrel, there has been a negative impact on all bulk drugs derived from petro chemicals. And there is already a shortage of intermediates in Bangladesh and worldwide, according to industry people.

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