Dec 05, Colombo: The harmaceutical industry of Sri Lanka has expressed concerns over the government’s measure to introduce price control on pharmaceuticals from next month fearing that the proposed measure to control the prices of drugs may scare foreign investors from investing in the proposed drug manufacturing zone.
Chairman of the Sri Lanka Chamber of the Pharmaceutical Industry (SLCPI), V. Govindasamy has said the proposed price control measures to prevent irregularities in the drug prices would drive away the investors as they may not have freedom to earn a profit.
“Once price controls are imposed foreign and local companies will be reluctant to invest as they will not have the freedom to earn profits,” the official has told Xinhua.
The government has recently received the approval from the cabinet to set up a dedicated industrial zone for manufacturing of pharmaceutical products and the. A 48-acre block of land in Kurunegala has already been identified to set up the proposed manufacturing zone.
The government says the country consumes Rs.40 billion worth of pharmaceutical products annually and the government is the biggest consumer representing well over 35% of the domestic consumption of around Rs.15 billion.
The Minister of health Maithreepala Sirisena has announced that the decision of the Ministry to introduce pharmaceutical price controls will be implemented from next month despite the objection of certain sectors