Fixed margin for retailers on paracetamol

The federal government has set a profit margin for retailers on paracetamol medicines.

According to the notification issued, the margin limit has been fixed on paracetamol tablets, suspension and syrup.

Companies will be able to give retailers a margin of up to 15 percent on paracetamol.

According to the notification, objections regarding giving a discount of up to 15% can be submitted within three days.

Paracetamol, also known as acetaminophen, is a medication used to treat fever and mild to moderate pain.

On the other hand, pharmaceutical companies objected to the Ministry of Health’s notification.

Chairman Pakistan Pharmaceutical Manufacturers Association Mansoor Dilawar said that instead of increasing the price of paracetamol, the government reduced the margin.

He said that earlier companies were obliged to give a discount margin of at least 15 percent, companies used to give a margin of up to 30 percent to retailers.

Last week a leading multinational pharmaceutical company stopped the production of its popular paracetamol brand Panadol creating a nationwide shortage.

The company demanding permission to increase Panadol price, said that production was no longer cost-effective.

The government has issued licences to over 70 pharmaceutical companies to manufacture paracetamol tablets. However, only a few of them are producing the drug.