Pakistan’s healthcare sector struggling with R&D deficiencies, medicine shortages
KARACHI: Pakistan’s healthcare sector is facing severe challenges due to a lack of research and development (R&D) and the poor accessibility of quality medicines, say startup founders currently involved in resolving the country’s healthcare problems.
Dr Saira Siddique, general manager and founder of medIQ Solutions, emphasised the critical state of R&D in the country.
The startup, which announced that it raised $1.8 million in early-stage funding in April 2022, connects customers to health service providers, and says it is Pakistan’s first integrated B2B virtual care platform providing what a company or insurer needs to deliver virtual care to its members.
However, its founder said that Pakistan is lagging when it comes to innovation.
“Pakistan does lag behind in introducing new therapies and innovative treatments compared to some of the other markets I’ve worked in,” she told Business Recorder.
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This gap is primarily due to limited investment in R&D, regulatory challenges, and inadequate infrastructure to support clinical trials.
Although there have been some collaborations between local and international pharmaceutical companies, particularly during the COVID-19 pandemic, progress has slowed significantly.
Dr Iffat Zafar Aga, co-founder and COO of another healthcare startup Sehat Kahani, echoed the view, noting that most pharmaceutical innovations in Pakistan come from multinational corporations that prioritise larger, more profitable markets.
“There is hardly any new research happening in Pakistan for any drug discovery,” she remarked.
The absence of substantial local R&D investment means that cutting-edge therapies and treatments are slow to reach Pakistani patients, exacerbating the healthcare crisis.
Compounding the issue is the severe shortage of essential medicines, which Dr Siddique described as a life-threatening problem.
“Blood cancer – leukemia is very common now but chemotherapy is always short especially for children. I have seen many children dying because their parents can’t buy it.”
“Simple flu medicine Tamiflu (Oseltamivir) is always in short supply, and is imported and sold in black. Epival is an epilepsy drug, which is also always short.”
She added that medicines for chronic diseases, such as blood pressure and diabetes, often come in large packs that are unaffordable for many patients, further complicating their treatment.
“People don’t have money to buy a full pack. If the pack is opened then the efficacy of medicines gets affected.”
“I have seen people begging to give them half a bottle or one strip as they can’t pay for the full pack.”
“So having smaller packaging can help.”
Dr Aga, whose startup Sehat Kahani announced raising $2.7 million in a Series A round in December 2023, pointed to supply chain inefficiencies and stringent pricing regulations as major contributors to medicine shortages.
Sehat Kahani says its technology ensures a virtual connection between doctors and patients within 60 seconds.
The platform offers on-demand, at-home or on-premises laboratory services and online medicine delivery, catering to a nationwide patient base, including B2B clients, B2C consumers, and the underserved population in rural areas.
“The supply chain challenges, including distribution and logistics issues, can lead to periodic shortages of essential medicines,” she said.
Government-imposed price controls, although intended to make medicines affordable, sometimes render it unviable for manufacturers to produce or import certain drugs, resulting in widespread shortages.
This has led to many multinational pharmaceutical companies exiting the Pakistani market, which is detrimental to the sector’s growth.
Both officials identified regulatory challenges as a significant barrier to the introduction of new therapies.
Dr Siddique highlighted the slow and less transparent regulatory processes in Pakistan, which she compared with the more efficient systems in countries like the UAE, Saudi Arabia, and the UK.
“Pakistan’s regulatory environment in the pharmaceutical sector has been evolving but still faces a multitude of challenges,” she noted.
Dr Aga elaborated on this, saying Pakistan’s Drug Regulatory Authority (DRAP) can take longer when compared with regulatory bodies in other countries.
“Regulatory approval processes can be slower and less predictable, impacting the time it takes for new drugs to enter the market,” she said.
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The inconsistency in enforcement and the bureaucratic hurdles further complicate the situation, making it difficult for pharmaceutical companies to navigate the regulatory landscape.
To address these issues, both officials proposed several strategies.
Dr Siddique emphasised enhancing the efficiency and transparency of the regulatory process, encouraging investment in R&D through incentives, and fostering collaborations between the government, private sector, and international partners.
“Encouraging investment in research and development through incentives, subsidies, and partnerships with international academic institutions can foster innovation,” she said. Additionally, improving infrastructure to support clinical trials and manufacturing is essential.
Dr Aga highlighted the need for strengthening the regulatory framework, enhancing quality control measures, and improving supply chain infrastructure.
“Implementing stricter quality control measures to ensure the production and distribution of high-quality medicines can reduce the prevalence of counterfeit drugs,” she suggested.
She also underscored the importance of fostering public-private partnerships and investing in the education and training of healthcare professionals to drive innovation and improve the overall standard of healthcare.
Copyright Business Recorder, 2024
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