Latest news with #PakistanPharmaceuticalManufacturers'Association
Business Recorder
12-05-2025
- Business
- Business Recorder
Price deregulation improves access to medicines, helps stabilise industry
KARACHI: The price deregulation of non-essential medicines in early 2024 has improved access to medicines and brought much-needed stability to the pharmaceutical sector, creating space for sustainable and long-term industry growth. The policy shift, aimed to create a market-driven approach while addressing longstanding challenges in the sector, provided flexibility to pharmaceutical firms, allowing them to adjust prices in line with market conditions. By aligning prices with inflation and currency fluctuations, companies have managed to stabilise production of medicines that were previously at risk of becoming unavailable due to pricing constraints, according to experts. Contrary to the skepticism surrounding price deregulation, the past year has proven it to be a correction rather than a market free-for-all. Essential medicines—listed under the National Essential Medicines List (NEML)—remain under strict government's price controls, ensuring continued affordability for vulnerable populations. However, by removing artificial price ceilings on non-essential medicines, the government restored confidence among manufacturers and revived production lines. 'This (deregulation) was not about letting prices run wild, but it was about saving healthcare industry on the verge of collapse and increasing access of patients to genuine medicines at market price,' said a former Pakistan Pharmaceutical Manufacturers' Association (PPMA) chairman. 'Deregulation has balanced sustainability with patient access.' With production becoming financially viable, many life-saving but previously discontinued drugs are now back on shelves. The volume of medicines sold rose by 3.79% year-over-year, according to IQVIA data dated February 2025, countering claims that higher prices have reduced access. Stable supply chains have also curtailed the rise of unregulated and counterfeit substitutes that had filled the void during previous shortages. Deregulation brings innovation, investment The economic impact of deregulation has been supportive. In the first quarter of FY25, the sector recorded a 5.6-fold increase in profitability, jumping to Rs5.6 billion from Rs1 billion in the same quarter of FY24, according to Topline Research. The growth was driven by improved margins, reduced financing costs, and greater production efficiency. The profitability has translated into increased investment. PPMA member companies are rapidly upgrading their manufacturing facilities to meet WHO PQ and PIC/S standards. The improvements can position Pakistan to significantly expand exports to regulated markets across Asia, the Middle East, and Africa. PPMA officials estimate that Pakistan's pharmaceutical exports significantly surged to $500 million in the first half of FY25, suggesting having potential to reach $1 billion in full-year FY25 and $5 billion in the next five years, provided deregulation and policy stability remain in place. 'Global buyers are now viewing Pakistan as a reliable, high-quality supplier,' a PPMA spokesperson said. 'This is a major shift from just two years ago.' According to industry sources, Pakistan and Afghanistan are to reach an understanding in the healthcare sector, enabling Islamabad tap around $500 million export potential in the neighbouring country. Stock performance soars Market sentiment has surged in response to these developments. The pharmaceutical sector's value climbed 194% year-to-date, far outpacing the KSE-100 Index (which rose 84%), it was learnt. For the first time in years, pharma stocks are among the top-performing equities at the Pakistan Stock Exchange (PSX). Haleon posted a staggering 436% gain year to date, Glaxo rose by 362%, Macter gained 315%, while AGP is expected to continued performing well this year; 2025. PPMA continues to advocate for a rule-based, transparent pricing mechanism for the sector, while ensuring that essential drugs remain affordable and accessible. The association is also calling for strengthened collaboration with the Drug Regulatory Authority of Pakistan (DRAP) and the Ministry of Health to prevent market abuse, reinforce public trust, and build a more innovation-driven ecosystem. 'This is not just a recovery story—it's a growth story,' said the former PPMA chairman. 'The reforms have given Pakistan's pharmaceutical industry a new identity: competitive, credible, and caring.' Copyright Business Recorder, 2025
Business Recorder
28-04-2025
- Business
- Business Recorder
Pakistan pharma sector deploys AI, other advanced technologies in drug development
Pakistan's pharma sector is increasingly deploying artificial intelligence (AI) and advanced technologies to improve drug development processes and detect drug reactions, it was learnt. From startup-led telemedicine platforms to large-scale industry events focused on AI integration, the sector is gearing up for a tech-driven future. Industry leaders Haroon Qasim, who is also a former Chairman of the Pakistan Pharmaceutical Manufacturers' Association (PPMA), highlighted a transformative shift. 'AI and digital technologies are steadily transforming Pakistan's pharmaceutical sector across multiple fronts—from drug development to patient engagement, the applications are growing,' he told Business Recorder. Pakistan Pharma Summit 2024: experts gather with aim to chart path for growth in pharmaceutical industry Pharmaceutical companies are leveraging AI in a variety of ways. AI-powered tools now predict disease outbreaks based on prescription trends and real-time data, while AI chatbots assist physicians 24/7 with instant access to medical information. In pharmacovigilance, machine learning algorithms analyze patient feedback to detect adverse drug reactions faster than ever before. Startups in the country are also innovating rapidly. By integrating AI with telemedicine, they are able to provide more personalized treatment recommendations. Meanwhile, e-commerce platforms in the pharma space use predictive analytics to manage inventory, prevent stockouts, and enhance customer support, he said. 'Like in PharmEvo, we are using telemedicine, AI chatbots like DiBot to track and connect with patients. We have even launched our own e-commerce platform following a direct-to-consumer (DTC) model,' said Qasim. 'It is a testament to how the pharmaceutical sector in Pakistan is venturing into the digital side of the business for better patient care and effective reach.' The integration of AI spans multiple departments and stages of the pharmaceutical value chain. In research and development (R&D), AI accelerates molecule screening and optimizes drug formulation. In quality assurance, machine learning detects anomalies in production lines, improving both safety and efficiency. Regulatory affairs departments use digital tools to streamline documentation and compliance, reducing approval timelines significantly. On the manufacturing floor, Internet of Things (IoT) systems and AI-driven automation enhance batch processing while minimizing human error. In supply chain and distribution, predictive AI helps forecast demand and manage temperature-sensitive logistics. For sales and marketing, AI-enhanced CRM tools personalize engagement strategies with healthcare providers. The objectives behind these innovations are clear: improving efficiency, reducing human error, ensuring compliance, and enhancing patient safety. 'This all aligns with our dream of a healthier society,' added Qasim. 'Technology enables smarter, safer, and more accessible healthcare.' A bold signal of the industry's commitment to this tech-driven future came from Martin Dow Group, the country's sixth-largest pharmaceutical company, which recently hosted its first-ever Tech Day, titled AIM (Artificial Intelligence for Martin Dow). The event brought together experts from global tech giants like SAP, Salesforce, Microsoft, and PwC. 'We see artificial intelligence as a catalyst for meaningful change,' said Ijlal Jafri, Group CIO at Martin Dow. 'With our AI roadmap and today's tech day, we take an important step towards building a smarter and more agile future where technology empowers better decisions and drives greater impact across the industry.' Tech Day featured panel discussions and presentations that explored how AI can drive operational excellence, enhance customer experience, and support smarter decision-making. The company also signed key partnerships with TallyMarks Consulting for the 'Rise with SAP' initiative and with Integration Experts for Salesforce-based customer relationship management (CRM). These strategic moves signal the beginning of a new era in pharma-tech collaboration in Pakistan. Copyright Business Recorder, 2025
