ISLAMABAD: The Drug Regulatory Authority of Pakistan (DRAP) has been criticized by cabinet members for not having a transparent method to set drug pricing.
When the idea to raise drug prices by more than 300 percent was discussed at a recent conference, they criticized DRAP. Concerned that DRAP’s initiatives were profit-centric rather than public-friendly, multiple cabinet members voiced their disapproval.
They thought it was a mistake to combine price fixing and regulatory powers into one body.
A lack of transparency in the drug pricing mechanism was brought up by the members, who stressed that while the pharmaceutical industry should make a profit, it should be fair and that prices should be determined after considering all relevant factors, such as public interest, input costs, and expert opinion.
In response, the Ministry of National Health Services, Regulation and Coordination emphasized that the process of medicine price fixing was intricate and involved numerous parties, such as the pharmaceutical industry, federal and provincial governments, and DRAP.
It went on to say that the pharmaceutical business, not the general public, was the ultimate beneficiary of the present pricing policy.
In response to a question from a member of the cabinet, the relevant ministry stated that issues including counterfeit medications and the black market were being tackled with great severity.
It was recognized that drug laws need revisions to enhance their effectiveness. It was widely agreed that the provincial governments and the Ministry of National Health Services needed to be involved in order to implement such initiatives.
The use of generic drug names instead of patent or trade names, the availability of vital pharmaceuticals on the market, the separation of DRAP’s regulatory and administrative functions, and revisions to drug legislation and policies were all part of this.
After the meeting, all members of the cabinet agreed that medication pricing would not be discussed again until a comprehensive technical and professional study based on honesty and equity was undertaken. In doing so, it hoped to create conditions favorable to the growth and development of the pharmaceutical business while simultaneously shielding consumers from excessive price increases.
They reached a consensus that the pharmaceutical business should be incentivized to set appropriate prices in order to make sustained and justified profits, with evidence-based increases being reasonable.
