According to reports, India's imports of medicines and medical devices from China account for 70% to 80% of the Indian market, including pharmaceutical raw materials. If the diplomatic relations between India and China deteriorates, there will be a significant risk of a serious shortage of drugs. The Times of India reported that in fact, in 2014, India’s national security adviser Dorval issued a warning to the government that India is over-reliant on China in medicine. The tension between the two countries will lead to a crisis in the Indian public health system. After that, the Indian government formed a committee of experts and developed a series of specific policies to promote the development of the Indian pharmaceutical industry.
According to the Economic Times, this time, the regulatory measures being planned by the Indian government include daily inspections of factories, high registration fees, higher licensing fees, stricter procurement procedures, higher tariffs and more. In-depth supply chain review. Singh, the head of the Indian Drug Administration, said regulators plan to start patrolling the market next month. At the same time, the Indian government plans to revise the rules on pharmaceuticals and cosmetics in the near future to increase registration and licensing fees.
Is it possible to restrict the entry of Chinese medicines into India through administrative means only because of the major risks that may be caused by dependence on Chinese medicines? Other answers seem to be visible from the print media reports. According to the "India Times" report, although the raw material drug accounts for less than 10% of India's 1 trillion rupee (about 101.7 billion yuan) pharmaceutical market, India was once the world's low-cost drug procurement and high-quality raw material manufacturing destination. However, in recent years, as China has gradually acquired enormous manufacturing capabilities, the status of India's global bulk drug market distribution center has been replaced.
According to the Economic Times, the price of raw materials from China is 15% to 20% lower than the cost of production in the country, which makes more Indian companies choose to import Chinese medicine. Shah, secretary-general of the Indian Pharmaceutical Alliance, said that those measures are very important to bridge the cost structure gap, but the consequences will affect drug prices and competition.
Source: World Wide Web
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