Aurangzeb Pushes Transparent Drug Pricing to Protect Patient Access

Finance Minister Muhammad Aurangzeb on Friday called for a balanced and transparent approach to medicine pricing, saying patients must retain access to essential treatments while pharmaceutical supplies remain commercially sustainable. He made the remarks while chairing the eighth meeting of the federal cabinet committee examining drug-pricing proposals in Pakistan.

The committee reviewed recommendations submitted by the Drug Pricing Committee and the policy board of the Drug Regulatory Authority of Pakistan. Officials presented cases involving proposed prices for newly introduced medicines, applications seeking relief because of higher production costs and matters linked to the continued availability of essential drugs.

Aurangzeb said pricing decisions should be supported by verifiable evidence and developed through consultation with relevant stakeholders. The government faces the challenge of preventing unaffordable increases for patients while ensuring manufacturers and distributors can continue supplying medicines affected by rising input, import and transportation expenses.

The finance minister also stressed that authorities should clearly explain the reasoning behind decisions involving critical medicines. He said public communication was important because changes in drug prices directly affect households, hospitals, pharmacies and people receiving long-term treatment for chronic or life-threatening conditions.

Health Minister Mustafa Kamal and Defence Production Minister Muhammad Raza Hayat Harraj attended the meeting alongside regulatory and government officials. The committee was also briefed on work completed since its previous session and on proposals requiring further consideration before any formal decisions are announced.

Medicine affordability has become an increasingly serious concern across Pakistan. Industry representatives and pharmacists have linked repeated price revisions to currency depreciation, expensive imported raw materials, higher freight charges and disruptions in regional supply chains, particularly because much of the pharmaceutical sector relies on ingredients sourced from China and India.

Prices of several medicines have risen sharply since 2023, with reported increases of around 50 per cent during 2024 and a further 30 to 40 per cent in 2025. An 18 per cent general sales tax and higher operating costs have added to the pressure, while some wholesalers in major cities say manufacturers have revised rates several times within relatively short periods.

Drug-pricing experts have also raised concerns about reduced regulatory oversight following the deregulation of some medicine categories. They argue that weak monitoring can leave patients exposed to frequent increases, while pharmaceutical companies maintain that unrealistic price controls may lead to shortages or discourage the production of low-margin essential medicines.

The issue has nationwide implications because rising medicine costs can force families to delay treatment, reduce dosages or choose between healthcare and other basic expenses. Hospitals and public health programmes may also face larger procurement bills, increasing pressure on already limited budgets and potentially affecting the availability of medicines for lower-income patients.

The cabinet committee is expected to continue reviewing DRAP's proposals before approving or recommending changes. Attention will now focus on whether the government introduces stronger monitoring, clearer pricing criteria and measures that protect patients without causing shortages in Pakistan's pharmaceutical market.