Frequent seizure of Indian drug consignments in Europe may force domestic pharmaceutical firms to avoid the European sea routes to destinations in Africa and Latin America, Commerce Secretary G K Pillai said.
Concerned over continuation of the “non-trade barriers” (seizure of drug consignments), Pillai said the Indian firms would have to avoid “European ports and take the goods through some other ports”.
The seizure of drug consignments by European authorities has gained momentum in recent times. In the past few months, four large Indian consignments destined to African countries were seized at European ports ostensibly on allegations of patent violations.
Pillai said this act on part of European authorities had adversely impacted businesses of the Indian firms. “If you seize them (consignments), it means I have defaulted with my contractual supply and after you return it after two or three months, already my business is affected, my reputation is affected.” he said.
Indian firms export their products through Mediterranean route using Suez Channel, which is the shortest route for Latin America and Western Africa.
In separate incidents, in February and March, Netherlands had confiscated blood pressure control and anti-HIV drugs going to Brazil, Columbia and Nigeria. The consignments were sent by a Hyderabad-based pharmaceutical firms.
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