Most of the drugs locally available are imported as local manufacturers grapple with liquidity constraints. Pharmaceutical companies’ capacity utilisation has dropped over the past few years due to the rise in the importation of drugs from countries such as India and South Africa.
Economic analyst, John Robertson, told The Zimbabwean that local drug manufacturers lacked investment to keep up with developments in the rest of the world.
“Countries exporting drugs to Zimbabwe are easily gaining a foothold. We have lost ground to producers outside the country,” he said.
Robertson said Zimbabwe had lost the competitive edge it once had.
“When you are no longer competitive you cease to exist,” he said.
Another analyst, Takunda Mugaga, attributed the woes to the dominance of the informal sector.
Eric Bloch said the main problem for local manufacturers was the unavailability of capital.
“Capital resources are very scarce and this sector has not been spared,” he said.
Manufacturers are now calling for the government to shield locals from the rising tide of imported drugs.
Post published in: Business