Pakistan to Boost Raw Materials Imports

As part of efforts to boost the country's pharmaceutical industry, Pakistan's government has set a 10 percent import tariff on the drug raw material amylopectin hydrolysate, a modified plant-based starch. The concessionary rate has been imposed after lobbying from local pharmaceutical producers.

Pakistan has a number of ambitious plans to increase local sector production, and officials have announced a strategy to increase drug exports to at least US$1bn per year by the end of the decade. Authorities in the Punjab are also currently setting up a US$17mn site with 53 production and service units.

Although the country should benefit from improving trade conditions, sector growth has remained sluggish, with spending set to reach US$940mn at consumer prices by 2007. The multinational sector continues to cite strict government control over pricing and the poor state of regulatory infrastructure as factors behind slow development in recent years.