The government should make efforts to strengthen the domestic industry in view of rising bulk drug imports from China, a top official of Pharmaceuticals Export Promotion Council, said on Monday.

The government is aware of the situation and Pharmexcil is in constant dialogue with the central government to strengthen our PSUs into making APIs (Active Pharmaceutical Ingredients) and drug intermediates, according to Pharmexcil Vice Chairman Asutosh Gupta.

“Basically the threat is in terms of dependence on APIs and intermediates which we predominately import from China. We need to develop and strengthen our API industry to develop cost affective intermediaries,” Gupta told reporters in a press conference here.

According to the official data, till February 2012 (2011-12), total imports of APIs and intermediates from various countries stood at $3.07 billion, of which imports from China stood at $1.65 billion.

Indian firms imported APIs and intermediates worth nearly $3 billion in 2010-11 with China alone accounting for $1.88 billion, the data showed.

Pharmexcil director general PV Appaji said issues such as cheap bank rates, government support to pharma industry in China contributes to making Chinese APIs cheaper than those of India.

Replying to a query, Appaji said the European Union’s directive on on product certification will come into force from July 2013 and India is gearing to meet the requirements in terms of product certification.

European Commission’s directive under Falsified Medicines Act mandates that every consignment being exported to EU is to be certified by competent authority in India.

“We have discussed the issue with Government of India. Several meetings have taken place between ministries of commerce and health. Pharmexcil has been indicated that DCGI (Drugs Controller General of India) will be the competent authority to certify the consignments. This will be communicated to EU soon,” Appaji said.

Indian pharma exports which are currently at $13.4 billion may witness growth of 25 per cent in rupee terms and 17 per cent in terms of dollar this year, according to Appaji.

Pharmexcil will be organising a global expo - iPHEX 2013 - during April 24-26, 2013 and over 400 leading Indian companies are expected to showcase the best of pharma products at the event, Appaji said.

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