BUDGET BUZZ: Bring policy to reduce import of drugs

The Association of Pharmaceutical Producers of Nepal (APPON) was established by Nepali pharmaceutical entrepreneurs 20 years ago with the clear objective of producing quality, safe and effective drugs and to deliver these at affordable prices within the country.
At present, we are a 42-member industries producing quality medicines. The total contribution of the association to the Nepali pharma market is 35 per cent out of the total 42. Around 14 industries have already received AHO-GMP (WHO Standard Good Manufacturing Certificate) Certificate. Till now, we have utilized only 55 per cent of our total capacity.
APPON members never compromise on quality and try their best to improve the quality of all Nepali medicines. APPONs suggests the inclusion of the following points in the budget to come in order to boost the pharma sector and increase its capacity utilisation as well as market strength.
APPON wants to reduce the import of medicines from different countries to protect the 42 industries and their 45 products in which the country is self sufficient through local production. In the meantime, it wants to have easy, favourable registrations of new molecule (new products) for their sustainability and recommends that only innovative companies from the association should get registration of that molecule.
It also wants to participate in and contribute to the preparation and revision of the National Drug Policy. It wants to revise the Drug Manufacturing Code-2041 as per the need of member industries timely.
Similarly, APPON wants to have cut off in VAT of excipients and other packaging materials which are produced and available in the country. The requirement of different stainless steel equipment and accessories is more in Nepali industries. However, there is 40 per cent tax which we have to pay (25 per cent custom and 13 per cent VAT aside from other taxes). This is not justified.
APPON wants that the tax and VAT on research and development and other laboratory equipment, which are imported, should be abolished to facilitate the member industries.
APPON believes that if the government respond positively, it can bolster 50 per cent of the total Nepali pharma market. APPON is eager to work in cooperation with different ministries as well as DDA and other stakeholders. It wants supports from all consumers of Nepali medicines and assures of the quality, safety and efficacy of Nepali medicines -- factor most vital to the people of the country.

Umesh Lal Shrestha
President
Association of Pharmaceutical Producers of Nepal (APPON)