The Food and Drug Globalization Act 2009 would require drug makers to undergo more rigorous inspection procedures, an imposition that would add significant costs.
“The proposed legislation has drawn a mixed response from Indian pharma manufacturers, some of whom believe that the law, if implemented, could trigger a consolidation in the industry as smaller firms would be unable to absorb the additional costs,” the report said.
Even larger firms are wary of increased costs.
“It will definitely impose a higher cost burden on the pharma industry, because of its stringent quality compliance requirements, particularly the new requirements to secure the entire supply chain,” P.V. Appaji, executive director of India’s Pharmaceutical Export Promotion Council, told the newspaper. “But it will also raise our competitiveness on the global stage.”
A pharmaceutical producer said that if the law is fair, it could be a boon to the country’s industry.
“As long as it is applied uniformly between Indian and foreign players, it is a welcome step,” said Amar Lulla, joint managing director of the manufacturer Cipla. “As the cost of inspections of manufacturing facilities will now need to be borne by drug makers, only serious players will remain in the field.”
The bill was introduced Jan. 28 by three House democrats, John Dingell of Michigan, Frank Palone Jr. of New Jersey, and Bart Stupak of Michigan. It would essentially make safety requirements for drug manufacturers in the United States and abroad the same, including ensuring the safety of their supply chains.
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The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
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