ISLAMABAD (PEN) : The government is taking a significant step to address the ongoing challenges in the healthcare sector by creating a new, independent body focused solely on the pricing of life-saving drugs. This move comes with a decision to reduce the powers of the Drug Regulatory Authority of Pakistan (Drap), which has been handling drug prices until now. The change aims to bring much-needed reform to the system, ensuring that essential medicines remain accessible and that shortages become a thing of the past.
Prime Minister’s directive to shift Drap’s role in price regulation comes after the caretaker government took steps to deregulate prices for non-essential medicines, recognizing the need for a more focused approach. The newly proposed authority will take charge of regulating around 500 essential medicines, a responsibility Drap previously managed according to the World Health Organisation’s latest recommendations.
The Pakistan Pharmaceutical Manufacturers’ Association (PPMA) has welcomed the move with optimism, believing that this new regulatory body could be the key to resolving long-pending drug pricing cases. The hope is that by streamlining the process, the availability of critical medicines can be safeguarded, preventing the shortages that have plagued the market for so long.
A senior official from the health ministry pointed out that in many parts of the world, drug pricing is kept separate from drug registration. Adopting this model in Pakistan could offer a long-term solution to the recurring issue of medicine shortages.
A committee, headed by Federal Minister for Law and Justice Azam Nazeer Tarar, is currently exploring the best way forward. They’re considering either setting up an entirely new regulatory authority or assembling a board of experts from diverse sectors to oversee medicine pricing. To ensure that Pakistan’s approach is well-informed, the committee is also studying global and regional practices in drug pricing regulation.
Earlier this year, in February, the caretaker federal cabinet approved the deregulation of non-essential drug prices based on a recommendation from the Ministry of National Health Services. This move was seen as a necessary step to ease the burden on manufacturers and importers struggling with rising production costs.
Usman Shaukat, a member of the PPMA, shared his perspective, expressing hope that this new regulatory framework would not only speed up the resolution of pending pricing cases but also ensure that future pricing decisions are made promptly, keeping vital medicines available for those who need them.