Kerala Pharma Trade Raises Alarm Over Cross-Border Discount Racket, Fake Medicine Threat
New Delhi: The pharmaceutical trade in Kerala is facing growing disruption due to an alleged cross-border discount racket involving fake and diverted medicines, with industry stakeholders warning that the practice is causing significant losses to legitimate businesses and posing risks to patient safety.
According to the recent media report in The New Indian Express, medicines are being routed into Kerala through unofficial channels from neighbouring states and sold at steep discounts, bypassing the authorised distribution network. Trade representatives have alleged that the influx of such products has severely affected the state’s pharmaceutical market by creating unfair competition for licensed distributors and retailers.
Industry members claim that a substantial portion of the products entering the market are either diverted stocks, medicines supplied outside the approved distribution chain, or products whose origin and handling cannot be properly verified. Concerns have also been raised about the possibility of counterfeit medicines entering circulation through these channels.
Organised rackets are allegedly exploiting pricing differences between states and weaknesses in supply chain monitoring to move medicines across borders and sell them at rates significantly lower than those offered through authorised channels. As a result, many legitimate wholesalers and retailers are reportedly struggling to compete.
Representatives of the pharmaceutical trade have warned that the practice not only affects businesses but may also compromise patient safety. Medicines moving through unauthorised channels may not comply with prescribed storage and transportation requirements, potentially affecting product quality and efficacy.
Stakeholders have urged regulatory authorities to strengthen enforcement measures, improve surveillance of medicine movement across state borders and take stringent action against those involved in the diversion and sale of unauthorised pharmaceutical products.
The New Indian Express reports that trade bodies have called for coordinated action by drug control authorities and law enforcement agencies to curb the alleged racket and protect both patients and legitimate pharmaceutical businesses in the state.
