Currently, most of the high quality Pharmaceutical Manufacturers are struggling to maintain margins without compromising on the quality of pharmaceutical products. Multinational pharmaceutical companies are reluctant to establish new plants due to governments Policy emphasis of low prices without any regard for quality. As huge investments are required to build a manufacturing facility, of which future returns to the company should be reasonably predictable. This can be ensured through government incentives and long-term policies.
Investments in technology upgrades should be made duty free, as it would bring innovation and efficiency in the pharmaceutical sector.
Preferential access to electricity and gas at tax-free rates would not only reduce the cost of production and distribution of pharmaceutical products but will allow companies to expand and upgrade their production facilities.
Regulatory Duties rationalization to promote high grade API manufacturing in Pakistan as currently over 90% of API are imported. USFDA or EMA approved products should be registered on a Fast Track to increase availability of drugs in Pakistan.