India is facing the ripple effects of shutdowns in China with prices of paracetamol, the most commonly used analgesic, rising by 40 per cent. The cost of azithromycin, an antibiotic used for treating bacterial infections, has risen by 70 per cent, said Pankaj R Patel, chairman of Zydus Cadila.
The pharma industry could face shortages in finished drug formulations starting April if supplies aren't restored by the first week of next month, he said.
As manufacturers in China restart factories, nations such as India which depend heavily on imports of some raw material and intermediate goods from mainland continue to face uncertainty. Patel sees a substantial rise in prices of active pharmaceutical ingredients in the short- to medium-term. India, one of the largest suppliers of generic drugs to the world and home to about 12 per cent of all manufacturing sites catering to the US, relies on China for as much as 80 per cent of API requirement.