KARACHI : The Pakistan Pharmaceutical Manufacturers Association (PPMA) has clarified that medicine prices have increased by an average of **15 percent** since the government introduced the **price deregulation policy in February 2024**, rejecting reports that claimed a **32 percent hike**.
In a statement, PPMA explained that the figure of 32 percent quoted by some sections of the media represents the **cumulative increase over the past two years**, not the period following deregulation. The actual post-deregulation increase of 15 percent also includes about **2.5 percent growth in production units and new product launches**, indicating that the real impact on existing medicines is closer to **13.5 percent**.
Citing the latest **IQVIA report**, a globally recognized source for pharmaceutical market data, the association noted that overall medicine prices — even after factoring in new molecules and organic growth — rose by **only 16 percent over the last 12 months**.
Before deregulation, PPMA said, Pakistan’s pharmaceutical industry was facing a **severe crisis** due to **stringent price controls**, **sharp rupee depreciation**, and **record inflation** of up to **35 percent**. These challenges led to widespread **shortages of critical medicines**, including **anti-cancer drugs, insulin, anti-TB medicines, heparin, and cardiovascular drugs**, compelling patients to resort to **counterfeit or smuggled products**.
The association highlighted that the deregulation of **non-essential medicines** has already helped **restore the availability of over 50 life-saving and critical drugs** in the local market, as manufacturers have resumed production. PPMA thanked the government for taking **timely action to stabilize the market** and bring Pakistan’s pricing framework **in line with international standards**, where only **essential medicines** remain under price control — a model also followed by **India and Bangladesh**.
The deregulation policy has also **revived investor confidence** in the pharmaceutical sector. Several multinational companies have decided to continue operations in Pakistan, while **exports have achieved a record growth of over 34 percent**. Moreover, **eight local companies** have attained **PIC/S qualification**, and others have secured **WHO and MHRA certifications**, enhancing the industry’s **credibility and export potential**.
Looking ahead, PPMA expressed optimism that the industry will not only ensure the **uninterrupted supply of essential medicines** but also **introduce innovative treatment options** and **expand exports to $3 billion within the next three years**.
The association emphasized that deregulation has **stabilized the market**, **improved medicine availability**, and **set the foundation for sustainable growth** in Pakistan’s pharmaceutical sector.
