drug mafia

Rs. 300mn yearly saving by changing lung cancer drug importer

May 7, 2014, 6:53 pm 

By Don Asoka Wijewardena

Health Secretary Dr.Nihal Jayathilaka said that the government would be able to save Rs.300 million per annum as a local drug agent had been duly issued the import licence to import a highly expensive drug (injection) meant for malignant lung cancer patients.

Jayathilaka pointed out that the Health Ministry’s Medical Supplies Division (MSD) had been purchasing the Pacliall (protine bound Paclitaxel) injection at Rs.78,000 per vial from a local agent. Meawhile, another local agent had come forward to compete with the monopolistic drug company. The latter had informed the ministry that his company would sell the pacliall injection at Rs.38,000 instead of Rs.78,000.

Jayathilaka added that he had some reservations about the latter’s offer. Because the efficacy, clinical trials, quality should be the same as the expensive one. The complete dossier of the local agent was sent to a three -member technical evaluation committee headed by Consultant Oncologist Dr.Mahendra Perera. The dossier included all the required information on the drug. The technical evaluation committee comprised three senior oncologists.

He said the Health Minister and he had held comprehensive discussions on the drug monopoly which had caused numerous problems in the drug trade. Some local companies were monopolistic in drug supply. The ministry encouraged another local drug agent to come to the scene to break the drug monopoly. Now the monopoly had been broken and the government would be able to save Rs.300 million annually in purchasing the drug pacliall at Rs. 38,000 per injection instead of Rs.78,000 for the same drug.

Cosmetic Devices and Drug Regulatory Authority Director Dr. Hemantha Beneragama when contacted said that many patients at the Maharagama Cancer Institute were unable to receive proper treatment for want of pacliall for a long time. The government was purchasing an injection of pacliall at Rs.78,000. Butthe other local agent would now sell the drug at Rs.38,000, which benefited the country.

When he received the approval of the evaluation committee he issued the import licence to the local agent to regularly supply the drug.

The local drug company Managing Director when contacted said that pacliall was being manufactured by Panacea Biotec Ltd, India’s third largest biotech company with WHO, European Union, Germany and US FDA certifications for manufacturing high quality pharmaceutical products. Pacliall had won the prestigious award for "The Best Pharmaceutical Product" at the 2011 Bio- Spectrum Global Forum held in Bangalore in India.

He pointed out that the company was discouraged by the lethargic attitude of the Cosmetic Devices and Drug Regulatory Authority (CDDRA) over the last eight months.