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Updated 27 Apr, 2025 10:02am

Pakistan’s pharmaceutical industry under pressure following trade suspension with India

The Pakistani pharmaceutical sector is facing significant challenges after the suspension of trade relations with India in the wake of the Pahalgam attack. The Pakistan Chemists and Druggists Association (PCDA) is urgently seeking alternative sources for raw materials essential for drug manufacturing.

According to Business Recorder, Pakistan’s pharmaceutical trade with India was valued at $305 million last year. However, escalating tensions have led to a complete halt of trade.

Chemists and druggists have indicated that vital medications, including anti-rabies vaccines, snake antivenom, cancer treatments, and other biological products, can be sourced from countries such as China, Indonesia, Malaysia, and Europe to ensure continuous availability. They noted that while Indian raw materials were less expensive, alternatives available globally often offer superior quality.

PCDA Chairman Samiullah Samad has called on the Drug Regulatory Authority of Pakistan (DRAP) to expedite the registration process for high-quality drugs from new sources to satisfy local demand. He stressed that Pakistan can utilize the global market and does not have to depend solely on India.

In response to the trade suspension, the Pakistani health department has implemented “emergency preparedness” measures.

DRAP has reported that, although a formal ban on the pharmaceutical sector has not been issued, emergency plans have been established. A senior DRAP official stated, “We began preparations for potential scenarios after the 2019 crisis and are now actively seeking alternative routes for our pharmaceutical needs.”

Currently, Pakistan imports approximately 30 to 40 percent of its pharmaceutical raw materials, including Active Pharmaceutical Ingredients (API) and advanced therapeutic products, from India.

While DRAP’s preparations are deemed satisfactory, industry experts have warned that immediate action is necessary to prevent severe shortages of essential medications. The health ministry has yet to receive explicit government directives regarding pharmaceutical imports despite the broader trade suspension announcement.

Concerns persist in the pharmaceutical sector that supply chain disruptions could lead to critical shortages. The situation is further complicated by an active illegal market, where unregistered and unapproved drugs, particularly from India, are smuggled into Pakistan through Afghanistan, Iran, Dubai, and the eastern border, lacking guarantees of quality or consistency.

On Thursday, a delegation of pharmaceutical industry leaders met with DRAP and trade ministry officials in Islamabad. Pakistan Pharmaceutical Manufacturers Association (PPMA) Chairman Taqir ul Haq urged authorities to exempt the pharmaceutical sector from trade restrictions, highlighting that raw materials for several lifesaving products come exclusively from India.

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The delegation also appealed to the Special Investment Facilitation Council (SIFC) for exemptions on health and pharmaceutical trade to safeguard patients’ lives.

Experts have described the current crisis as a unique opportunity for the local production of APIs, vaccines, and biological products in Pakistan. Senior public health expert Dr. Zafar Iqbal remarked, “This crisis could be a turning point for Pakistan.

Dow University of Health Sciences in Karachi has begun producing anti-rabies vaccines using Chinese raw materials and is also developing snake antivenom. The National Institute of Health (NIH) in Islamabad should also be upgraded to meet national requirements.“

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