Indian pharma's Chinese crisis: Firms fear profit hit on cost hikes

The high dependence on Chinese imports has also been dubbed as a health security risk

Domestic pharmaceutical companies' over-dependence on China for active pharmaceutical ingredients is costing them, dear. 
In the last two months, prices of active pharmaceutical ingredients imported from China has gone up by 30-50 per cent resulting in increased expenses and hit on margins for companies.  A 30 per cent increase in API cost could impact margin on domestic sales by 1.5 to 3 per cent, said Amey Chalke, an analyst with HDFC Securities.
 
APIs refer to raw materials and intermediaries which are used in drugs. Over the last decade local drug makers have curtailed production of