ISLAMABAD: Pakistan’s Senate Standing Committee on Health has been informed that prices of various medicines have increased by as much as 100 percent during the last two years, sparking strong criticism from lawmakers over the growing burden on the public.
The revelation came during a meeting of the Senate committee where members expressed serious concern over the rising cost of medicines and questioned the government’s regulatory framework for the pharmaceutical sector.
During the briefing, officials informed the committee that medicine prices were deregulated in 2024 during the tenure of the caretaker government. Since then, pharmaceutical companies have largely been allowed to determine prices independently, leading to sharp increases in the cost of several drugs across the country.
According to officials, prices of different medicines have increased by up to 100 percent over the past two years, creating difficulties for patients already struggling with inflation and rising healthcare expenses.
The issue of medicine pricing has remained a major public concern in Pakistan, particularly as patients suffering from chronic illnesses rely on long-term medication that has become increasingly expensive.
Criticism Over Deregulation Policy
Members of the Senate committee strongly criticized the deregulation policy and questioned whether pharmaceutical companies had been given excessive freedom in setting medicine prices without adequate oversight.
Committee members remarked that the situation suggested that the pharmaceutical business had become one of the most profitable sectors in Pakistan.
“It is unacceptable that pharmaceutical companies have been given a free hand,” committee members said during the meeting, emphasizing the need to review the existing law governing drug pricing.
The committee noted that rising medicine prices directly affect ordinary citizens, especially low-income families who already face financial pressure due to inflation.
Lawmakers also expressed concern that weak regulatory mechanisms may be enabling excessive profits at the expense of public welfare.
DRAP’s Limited Regulatory Powers
Officials from the Drug Regulatory Authority of Pakistan (DRAP) informed the committee that, under the current law, the authority can regulate prices only for life-saving medicines.
They explained that the legal framework limits DRAP’s role in controlling the prices of many other medicines available in the market.
Federal Health Minister Mustafa Kamal also addressed the committee and stated that the Ministry of Health has no direct role in increasing or decreasing medicine prices under the present system.
According to the minister, pricing decisions are largely determined under the deregulated mechanism introduced during the caretaker government’s tenure.
The committee, however, expressed dissatisfaction with the situation and directed DRAP officials to formulate a proper pricing mechanism for medicines.
The committee also summoned officials from the Pakistan Bureau of Statistics to attend the next meeting in order to assist in developing a transparent formula for determining medicine prices.
Previous Concerns Over Rising Drug Costs
The issue of medicine prices has repeatedly surfaced in recent years, with several reports indicating continuous increases in pharmaceutical costs.
Earlier, concerns were raised after government control over medicine prices was relaxed, leading to claims that pharmaceutical companies earned significantly higher profits.
Reports had also indicated that summaries seeking approval for price hikes on hundreds of medicines had been submitted to the government, while DRAP had recommended price increases for more than 110 medicines.
The latest Senate committee meeting renewed debate over whether deregulation has benefited pharmaceutical companies more than consumers.
Pharmaceutical Industry Overview
During the briefing, DRAP Chief Dr. Obaidullah provided details regarding Pakistan’s pharmaceutical sector.
He informed the committee that there are currently 659 pharmaceutical manufacturing companies operating in Pakistan. In addition, 394 institutions are involved in importing medicines and vaccines from abroad.
Dr. Obaidullah stated that Pakistani pharmaceutical products are being exported to 51 countries, highlighting the industry’s growing international footprint.
He further revealed that Pakistan’s pharmaceutical industry recorded sales worth approximately Rs132 billion during the previous year.
Despite the industry’s growth, committee members stressed that protecting consumers and ensuring affordable healthcare should remain the government’s top priority.
The committee concluded that a review of the current legal and regulatory framework is necessary to prevent unjustified increases in medicine prices and to ensure transparency in the pharmaceutical sector.
