Support Indian API : Reduce API import

Support Indian API : Reduce API import

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hemangi Mahajan started this petition to Directorate General of Foreign Trade (DGFT)

The Novel coronavirus has revealed the dependency of India has on China when it comes to key starting materials (KSM) and Active Pharmaceutical Ingredients (API)1, essentially the raw materials used to manufacture the final pharmaceutical formulation.

According to the ministry of commerce, India, the world’s biggest maker of generic drugs, sourced $3.5 billion worth of bulk drugs in 2019 from China.2 that is 67% of the total pharmaceutical API & KSM imports.2

Some of the drugs which we are highly depended on China for API are part of the National List of Essential Medicine (NLEM) i.e. Paracetamol, diabetic (Metformin & glimepiride) & cardiovascular drugs (Valsartan, Telmisartan, Rosuvastatin & Aspirin) 3,5,10

One of the key reasons for the high dependence on China is cost advantage. According to KPMG, China has 20-30 percent cost advantage over India.4 India’s top drug makers, including Lupin, Sun Pharmaceuticals, Glenmark, Mankind, Dr Reddy’s, Torrent, Mylon, Zydus, Aurobindo Pharma & Abbott have heavy Chinese API dependency. 5,6

Owing to the low profit margin on API, Indian drug makers prefer to import API than manufacturing it locally.7 India, has lost its cost advantage, according to experts, due to factors such as inadequate financing, infrastructure, lack of or slow clearances.8

While Chinese API offers cost benefits it also increases the health concerns due to raising incidences quality issues & drug safety.8,9 The Central Drug Standards control Organization (CDSCO), conducted inspection of 7 bulk API manufacturing units in China & cancelled 6 major firms import lisence.9 Along with this, DCGI also cancelled around 100 import licenses of Indian companies those who were buying from those Chinese companies.9


Considering the current situation, there needs to be a bigger push to make API locally to reduce dependence on China. Therefore, Lloyd Healthcare, initiates this petition activity, to drive change, create awareness & also to initiate the communication with policy makers / government of India to take appropriate decision to support Indian API manufacturers of India.

Through this petition we are intent to achieve:  

·         Environment friendly technology to ensure: Less pollution & cost economic technology  

·         Robust R&D: To identify cost effective raw materials

·         Incentives API manufactures: Infrastructure, negligible finance cost & tax benefits

·         Motivate: Indian drug makers to procure Indian API

We at Lloyd Healthcare, we make conscious efforts to source formulations manufactured using Indian API in most of our brands. As an organization we are proud to support Athma Nirbar Bharat initiative by GoI. Alone we can do little, but together we can do much. Thus we request each one of your to support this unique cause by signing a petition to take this initiative in a bigger way.

Together we can …Together we will

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