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DRUGS IN REEFER CONTAINERS - Pharma importers cry foul over new regulation

21 Jul 2014 - {{hitsCtrl.values.hits}}      





rivate sector pharmaceutical importers are crying foul over the Custom’s directive issued in consultation with Cosmetics, Devices & Drugs Regulatory Authority (CDDRA), that makes compulsory to import pharmaceutical items in refrigerated containers, to maintain the required temperature.

The outgoing Chairman of the import section of the Ceylon Chamber of Commerce, Kevin Edwards charged that private sector importers were singled out by the authorities whereas the State Pharmaceuticals Corporation of Sri Lanka (SPC) continues to import defying the need for reefer containers.  

“What is more disturbing to us is the fact that private sector has been singled out giving SPC to flout the law in open,” Edwards said on the sidelines of their 79th Annual General Meeting.

Meanwhile, CDDRA Director Dr. Amal Harsha de Silva said the rule was originally brought in covering both SPC and private sector drug importers.

“However, later we exempted the SPC and thereafter extended to the private sector upon requests made by them,” Dr. de Silva noted.
The implementation of the directive is now being temporarily withheld until September 2014.

Asked whether the exemption would be withdrawn in September, Dr. de Silva said, to be fair by the industry he would re-engage the private sector pharmaceutical importers and re-evaluate the decision prior to any implementation.

The requirement to import drugs in refrigerated containers and store them under controlled temperature levels came in as a shock for the importers in December 2013.
 “If the industry is ready, we will implement. But we will not harass the industry and will treat them with respect,” Dr.de Silva assured.

According to him, the decision was taken by the authority to preserve the quality and safety of drugs.


Drug prices will increase – Importer


A leading importer and a manufacturer of pharmaceutical products, Hemas Pharmaceuticals (Pvt) Limited Managing Director Sanjeewa Samaranayake said the rise in prices of those drugs imported in reefer containers would be an inevitable, as a result of this new move.

“In general, the costs of those pharmaceutical items will go up because of the high import costs associated with refrigerated containers and storage facilities under temperature controlled environments,” he noted.
He said this rise in cost would have to be passed on to the customers.

According to Samaranayake, the small scale importers will be the ones who will be severely affected as they will either have to import them on Full Container Load (FCL) basis or air freight, which is a costly affair.

Alternatively, they will also face practical difficulties such as finding similar pharmaceutical importers to import such items in consolidated Less than Container Load (LCL) refrigerated shipments.

 


No LCL shipments to Colombo port



Mirror Business further learns that, hardly any cargo in consolidated LCL shipments arrive at Colombo port.
“At the moment no body brings cargo in consolidated LCL shipments to port of Colombo. For consolidation to happen, the cargo has to be of similar kind,” Sri Lanka Logistics And Freight Forwarders Association Chairman Dushmantha Karannagoda stressed.

Meanwhile he also said that there are no refrigerated warehousing facilities in the Colombo port.
“They have only the reefer container plugging facility but if anyone wants storage, that will have to be done through a private warehouse.”