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Fake Drugs in India: Points to Ponder

Dr. Chandra M. Gulhati,
Editor, MIMS.

  • Two topics viz. fake drugs and substandard medicines are separate subjects. For example:

  • Regulatory framework (CDSCO) exists in India to deal with Fake and Substandard drugs.

  • Production and sale of fake drugs is essentially a criminal act.

  • Production and sale of substandard drugs can be deliberate or due to negligence.

  • Fault can also lie with distributors and retailers with regard to storage of temperature sensitive items that can render standard into substandard products e.g. Insulin.

    Fake Drugs in India:

  • Every now and then the mass media both in India and abroad carries stories on manufacture and sale of huge number of fake drugs in India.

  • Figures quoted range from 20 to 25%

  • Implication: Every 5th, if not 4th medicine being sold in over 600,000 retail chemist shops is fake.

  • Based on this assumption, the total fake market business should be at least Rs. 6,500 crores every year!

    Endless Repetition of Unreliable Data:

  • “One widely quoted WHO statistic places India as the leader, with as much as 35% of world’s production (of fake drugs)”: news item in the Lancet, 2 June 2001.

  • As part of the “evidence” the case of narcotic analgesics being smuggled by Uzbek carriers but seized at New Delhi airport was quoted.

  • The fact: the narcotic analgesics were illegally produced for smuggling but were NOT FAKE.

  • Despite repeated denials by WHO, this misinformation continues to be repeated by the media even today.

    Confusion due to Different Definitions:

  • In India, the descriptions fake, spurious and counterfeit convey the same meaning.

  • However as per WHO definition counterfeit drugs are those that have “been deliberately and fraudulently mislabelled with respect to identity and/or source.”

  • Despite such a wide definition between 2002 and 2004, not a single case of counterfeit case was reported to WHO.

  • In America counterfeit drugs include genuine, foreign medicines/brands not approved by the United States Food and Drug Administration (USFDA).

  • No wonder according to USFDA, “Up to 25% of all drugs consumed in poor countries are thought to be counterfeit or substandard.”

    (Ref: The Lancet, Vol. 362, 22 November 2003).

    WHO “Fact Sheet” Without Data, Without Proof:

  • “There has been no full international survey but estimates from WHO and the pharmaceutical industry suggest that at least 5% of medicines in circulation (worldwide) may be counterfeit” (Ref: The Lancet, 5 October 2002)

  • “Counterfeiting in Peru is as high as 80% according to Merck, Sharp, and Dohme.” How come everyone is alive!

  • “In 2002, India’s pharmaceutical companies suggested that in India’s major cities, one in five medicines sold was a fake. They claimed a loss in revenue of between 4% and 5% annually. The industry also estimated that illegal drugs had grown from 10% to 20% of the total market.”

    Ref: WHO Fact Sheet revised, 14 November 2006.

    Figures Don’t Tally:

  • If fake drugs are so much in abundance in India, then why does the industry claim that their “loss of revenue” is between 4 and 5%?

  • It should be more like 20% or even more.

  • It can be less ONLY if fake drugs fall overwhelmingly in the cheaper range.

  • But why cheap fake drugs should be manufactured and sold since the profits are not be worth the trouble and risk.

    Let us look at an illustration: Paracetamol v/s Ceftriaxone

  • Bulk paracetamol costs Rs. 180 per kg (1000g).

  • Cost of active ingredient in one dose comes to just 9 paise.

  • The production cost of a strip of 10 tablets (without active ingredient) comes to Rs. 1.50. Thus production cost is higher than cost of medicine.

  • Sale price varies from Rs. 4 to 10 per strip.

  • Bulk ceftriaxone costs over Rs. 11,000 per kg.

  • Cost of active ingredient in one dose (1g) vial comes to Rs. 11.20.

  • The production cost without active ingredient is Rs. 4.40.

  • Sale price is over Rs. 70

  • Will fake drug maker produce paracetamol or ceftriaxone?

  • Profits lie in expensive products with large market.

    India: Fake v/s Spurious Drugs:

  • In India, Fake is a commonly used word that means “Not Genuine.” This word is not specifically mentioned in our laws governing medicines.

  • “Spurious”, as defined in the Drugs and Cosmetics Act (Section 17B) is not limited to fake products but also includes other cases such as products that use unauthorized names, manufacturers etc.

  • Implication: A strip of 10 pure and genuine paracetamol tablets will be deemed to be “spurious” if it uses the name Crocin without permission from trade mark holder GSK.

  • In many raids where the aggrieved informer is a manufacturer of the original product, primarily and at least initially the issue relates to unauthorized use of brand names.

  • Thus manufacturers use the legal definition to their commercial benefit even when public health may or may not be at stake.

  • How many of the “spurious” products were found to be fake as well?

  • Is the definition exaggerating the figures of really fake drugs?

  • Should the definition of Spurious drugs be amended?

    Strange Silence on Fake Brands

  • Large drug industry associations (IDMA, OPPI) provide estimated percentage figures of fake drugs.

  • Methodology and conclusions are neither listed nor supported with evidence.

  • Concrete examples are often not given.

  • Why should the drug companies shy away from giving specific details?

  • Recently duplicate copies of a popular and very widely used cough remedy flooded certain markets in eastern India.

  • The company found that its product’s sale was either stable or going up all over the country except certain markets in eastern India.

  • The Company took action with local police help but did not involve drug controller.

  • The reason? Media coverage of the existence of duplicate products would have led to boycott of the brand by patients and doctors all over India!

    Conclusion: Urgent Need of Credible, Correct Data:

  • Currently fake drugs are discovered through random sample collections by state drug inspectors.

  • On receipt of complaints by aggrieved manufacturers.

  • Rarely by patients.

  • These are inadequate measures to determine the correct prevalence of the problem.

  • National level scientifically structured large sample collection and testing is urgently required. CDSCO has probably already started the process.

 
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