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IPDA urges govt to allow e-commerce for pharma export as well as for domestic sales
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Swati Rana, Mumbai
July 22 , 2015
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The Indian Pharmaceutical Dealers' Association (IPDA) has urged the
government to allow e-commerce for pharma export as well as for domestic
sales. The association wants the pharma manufacturing units to be
allowed for the sale of products through retails including e-commerce
platforms in domestic and foreign markets.
The association
demands to notify adequate policy governing e-commerce and more
particularly for exports. Manufacturers or merchant exporters having
requisite licenses to manufacture/ trade in Drugs & Cosmetics Act
(D&C Act) under Rule 84 and 94, are eligible to export to individual
consignees of a drop shipping companies utilising e-commerce platform,
directly with no additional compliance under this Act.
IPDA
believes that the government needs to amend the Medical Council Act for
the better execution of e-commerce in domestic market with respect to
generating of prescription in e-format and creation of data base of
individual. A retailer under Rule 2(g) of the D&C Rule 1945, can
dispense with scan copy of prescription uploaded on the e-commerce
website, but physical dispensing should only take place by the competent
person/authorised person of retailer at the door steps of the consignee
and the conditions of license pursuant to Rule 65 should be complied
with. However, if the requisition of such medicines is by a hospital,
dispensary or similar organisation compliances of rule of stamping on
the prescription can be dispensed with and merely supply based on the
electronically uploaded prescription shall constitute to discharge of
license condition within the meaning of Rule 65.
Navneet Verma,
secretary of IPDA says, “We want pharma industry to utilise e-commerce
in two parts. One is in export and the other is in the domestic sales.
In the matter of exports, it is indeed disheartening when a select group
of authorities as being viewed as regulators interpret technology
enabled exports as a clandestine activity amounting to smuggling albeit
every export passes through the rigors of scrutiny both in exporting as
well in importing countries”.
He further adds, whereas, in the
matter of domestic trade utilising e-commerce is objected by the cartel
of distributors and retailers who till now have exercised their
unbridled monopolistic design by inflicting barriers for free movement
of medicines. Therefore, these cartels under a tacit understanding with
the authorities do outweigh the benefit of e-commerce which is known and
is for the benefit of manufacturers and consumers.
Speaking
about the benefits of e-commerce, Verma says “e- commerce shall benefit
pharma industry in a way where there exists no geographical barriers or
the prevalence of any cartel. Export shall enhance as the availability
of pharmaceutical products including life savings shall be easy and at
the doorsteps of the customers. Currently, e-commerce is a business of
more than Rs. 5,000 crore per annum which
is bound to increase with policy clarity and that shall straightway add
to the bottom line of Nostro account of banks.”
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