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ISLAMABAD: The government agreed on Wednesday to increase 25 percent in prices of paracetamol tablets and 12 percent in liquid against higher increase demanded by pharmaceutical industry.

During a meeting with Finance Minister Ishaq Dar, the pharmaceutical companies involved in production of paracetamol products had asked to increase the price of plain 500mg tablet from current Rs1.87 to Rs2.67 but the minister agreed to increase the price of tablet to Rs2.35.

The pharmaceutical companies had also demanded increase in price of Extra 500mg from current Rs2.19 to Rs3.32, however, the minister agreed to increase the price to Rs2.35.

He also allowed the pharmaceutical companies to increase the price of liquid to Rs117.6 from existing Rs104.8.

According to Finance Ministry, the meeting reviewed the maximum retail price and shortage of paracetamol products in the country and discussed modalities for smooth supply and availability of paracetamol products in the markets on affordable rate.

The finance minister was informed that rising import prices of pharmaceutical raw materials and increasing production costs are increasing the shortage of essential medicines in the market.

The pharmaceutical companies demanded a high increase in the prices of paracetamol products to overcome the shortage.

The ministry said that to resolve the issue of shortage of paracetamol products and to support local manufacturers, the finance minister discussed the issue with the stakeholders in detail.

The reduced prices of paracetamol products were agreed upon by the pharma industry against their demanded prices.

Simultaneously, the ministry said that production of paracetamol products has been started by the pharmaceutical manufacturers.

The meeting was also attended by Tariq Bajwa, special assistant to the prime minister on finance.

An official said that the meeting of Dar with heads of pharmaceutical companies took place a day before his departure to Saudi Arabia with Prime Minister Shehbaz Sharif.

Copyright Business Recorder, 2022

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