Revision of regulatory framework governing drug pricing ordered

Federal Minister for Economic Affairs Senator Ahad Cheema has ordered an urgent rethink of the rules that set drug prices, involving the Ministry of National Health Services and the Drug Regulatory Authority of Pakistan. According to Business Recorder, the review covers changes to the Hardship Policy and the makeup of the DRAP Policy Board. The aim is to shield consumers from price rises that cannot be justified while keeping essential medicines available.

Presiding over a Friday meeting attended by the Federal Secretary of Health and the DRAP chief executive, Cheema criticised the current formula used for medicine price increases. He wants any revision to be open, grounded in evidence and well supported, with tougher scrutiny and independent checks so that rising costs do not automatically reach patients. He has also asked for a health economist and a public health expert to be added to the DRAP Policy Board.

Cheema said importers that receive Hardship Policy relief, including tax concessions, should also trim their own margins instead of passing the full cost to buyers. DRAP has been told to examine importer and retailer margins, which in some relevant cases could be near 40 percent, and to propose their rationalisation. Any adjustment needs to happen inside the supply chain, he added, and should never be shifted onto consumers.