The manufacture of Panadol, a crucial over-the-counter medication, has been suspended, according to Pakistan’s biggest pharmaceutical company, which issued the declaration on Friday.
The Pakistan branch of a British multinational pharmaceutical announced in a filing to the Pakistan Stock Exchange that it has stopped producing Panadol Tablets, Panadol Extra Tablets, and Children’s Panadol Liquid Range, claiming that it has become unprofitable to produce the affordable medication due to significant losses.
The incident coincides with a major Panadol scarcity in Pakistan’s markets, which has gotten worse as a result of a dengue outbreak following catastrophic rains.The pharmaceutical giant, which produced over 450 million pills a month ago, announced a production slowdown after determining it was no longer cost-effective.
The company now claims it is “forced to declare force majeure” in a regulatory filing to PSX. Additionally, it stated that despite several requests and dire financial circumstances, the current government have refused to grant a raise.
The business said that despite its best attempts to resolve the issue through communication, it is now out of its control. It also said that the federal government had been advised to maintain pricing despite an unprecedented and sudden rise in the price of raw materials.
Additionally, it urged the authorities to act quickly to adjust the prices of the affected Panadol product line to reflect the rise in the cost of the affected raw material.
