Pharma industry should emphasise production of generic drug

It is indeed heartening to learn that a leading pharmaceutical firm of the country is set to establish an overseas subsidiary. Planned to be set up in the Philippines, the initiative has been prompted by what is believed to be the high prospect of meeting demand for drugs, especially the generic ones, in the host country. A commendable move, this should be considered a fresh beginning for Bangladesh's pharma sector as a whole. According to observers, multifaceted expansion of the country's pharma industry has been a reality-in-waiting for quite some time given its size and the facilities made available by the government as well as the special treatment offered by international rules in terms of the TRIPS waiver for manufacturing generic drugs until 2033. The fact that Bangladesh is a global pharma leader among the least developed countries (LDCs) and also stands out among the developing ones makes a strong case for massive growth of its pharma industry. Unfortunately, this has not happened, despite the progress made so far.
Forecasts on prospects of the country's pharmaceutical sector have been doing the rounds for some time. However, given the strictly regulated global pharmaceutical regime associated with the highly capital-intensive nature of the industry, its expansion is dependent on factors often beyond the capacity of individual entrepreneurs. This is particularly so when it comes to accessing overseas markets, especially those in the developed countries. So far as meeting the demands of the domestic market of generic drugs of brand medicines is concerned, the sector is presently in a position to meet 97 per cent of consumer demand. In addition to meeting domestic demand, this sector is also emerging, albeit slowly, as a prospective source of value-added export. However, in view of the highly regulated markets of the advanced countries, most of the exports are confined to the less regulated markets in the developing world.
Cashing in on generic drugs is what the local manufacturers should be eying now more vigorously than ever. Around 80 per cent of the global population consumes generic drugs, and the major suppliers are China and India. The global generic market for medicine currently stands at approximately $180 billion. In view of the present standing of Bangladesh's pharma industry and its growth potential, industry experts opine that aiming to capture 10 per cent of the global market is not too ambitious a target. However, one of the major deterrents in the way of the desired expansion of the industry is believed to be the lack of accredited laboratories. Industry insiders are of the view that medicine exports from Bangladesh, given its potentials, could have increased manifold had there been accredited labs in the country to conduct proper bio-equivalence and bio-availability tests of the generic drugs produced locally.
While recognising the move of the pharma company to set up an overseas manufacturing base is laudable, it must also the noted that in order for the industry to rise to its potential, it has to choose the right option and in the right direction of production line.