Revised GMP may force over 100 pharma units in Punjab to shut shop

Chandigarh, April 11

Over 100 pharmaceutical makers in the state, all in the micro, small and medium sector (MSME), are staring at a bleak future as they have failed to comply with the revised WHO-good manufacturing practices (GMP) prescribed by the government.

These units, manufacturing formulation drugs, are located mostly in Ludhiana, Mohali and Amritsar. All pharma units across India have been asked by the Centre to implement the revised GMP by December. While the big formulation units and bulk drug units have managed to upgrade themselves, the smaller units say that they do not have the financial resources.

Jagdeep Singh, secretary general of the SE Pharma Industries Confederation, said only 10 of the 130 formulation units have managed to upgrade themselves. “The small units work on very thin profit margins. A sum of anything between Rs 3 crore to Rs 10 crore is required to make the modifications in a manufacturing unit. They cannot bear the cost. It will be best if the deadline is extended beyond December, which will give some breathing space to the smaller manufacturing units,” he said.

He said even in Himachal Pradesh, where majority of the small units are located, 410 smaller units have been forced to opt for a smooth exit from the business. There are a total of 665 pharma units in Himachal Pradesh, of which only 255 have international certifications, thus forcing others to opt for a smooth exit.