Overseas Generics Makers Boost Philippines Presence

Official estimates suggest that the Philippines' imports of generic drugs from India are to increase by 25% in 2005. Senior government representatives have attributed the expected rise to the state-owned Philippine International Trading Corporation's (PITC) implementation of a parallel imports programme, aimed at boosting the country's access to cheaper medicines.

Nevertheless, government officials are keen to point out that imports from India account for only a small share of the country's overall drug imports, or only US$18mn of the PITC's annual import bill of US$500mn, in a market valued at some US$1.5bn. Imports are mainly sourced from locally-based representatives of Indian generics companies, which are reportedly exploring new manufacturing opportunities in the country. However, given the Philippines' reputation for ineffective regulation of copy and counterfeit products, the government is likely to continue to procure drugs from overseas on a limited basis.