Drug import from China hurting industry The Indian government said in early March that cheap bulk drugs import from China was affecting the domestic industry, as a result of which many of the units were facing closure.

Minister of State for Chemicals and Fertiliser BK Handique told the Rajya Sabha today that according to information made available by Bulk Drug Manufacturers Association of India and Pharmaceutical Exports Promotion of India (PHARMEXCIL), Indian Manufacturers of Drugs like paracetamol, analgin, ciproflaxin, metronidazole and diclofenac sodium had been seriously affected due to low-value imports of drugs from China.

One of the reasons for the closing down of IDPL at Rishikesh is the cheaper drug import from China, he said.

The minister also attributed the same reason for the closure of the Hyderabad unit of IDPL manufacturing vitamin B1, vitamin B2, folic acid, chloroquine phosphate and alpha methyl dopa.

Public sector plant of Hindustan Antibiotics Ltd manufacturing penicillin has also been closed because of the same reason,?Handique said. Chinese bulk drugs are cheaper compared to Indian products because of economies of scale, tariffs of power and tax structure, he said.

The minsiter said the government had been trying to protect the domestic industry by levying anti-dumping and related duties.