The shutdown in China is affecting the production of medicines in India. The prices of paracetamols have increased by 40% in India. It is the most commonly used analgesic.
Chairman of Zydus Cadila, Pankaj R Patel, said that the cost of azithromycin, which is an antibiotic used to treat various bacterial infections, has risen by 70%. He also said that if the supplies aren’t restored by the first week of March, the pharmacy industry could face shortage of finished drugs from April.
The fatal virus, known as Coronavirus, killing more than 1000 people, has disrupted global supply lines. The factories there slowed down production as people were not allowed to move in and out of the country. The virus stoked fears of broader slow down in China.
The nations like ours, who depend highly on imports of raw materials and intermediate goods, are facing uncertainty. As the Chinese manufacturers restart, there is still no surety.
Patel says he sees an increase in the price of drug ingredients in the short to medium term. The basic substances that a drug requires are going to face a substantial price increase.
India, one of the largest generic medicine supplier, is home to 12% of manufacturers who cater to the US market, who depend 80% on the Chinese market for the active pharmaceutical ingredient requirement.
