ISLAMABAD: The Pakistan Economy Watch (PEW) yesterday said Swiss multinational pharmaceutical company Roche has been declared guilty of dumping of Pegasys, a medicine used to cure hepatitis, in Pakistan by the National Tariff Commission (NTC).
However, the NTC authorities avoided imposing any anti-dumping duty on the company, which will not discourage it from employing illegal market practices to hurt local industry, it said.
Pakistan is facing a multinational onslaught therefore existing law should be reviewed to introduce strict measures to safeguard local industry, said PEW President Dr Murtaza Mughal.
He said that the action of the Swiss company was not only hurting local manufacturers but it also amounts to depriving 20 million hepatitis patients in Pakistan of affordable medicine.
He lauded the NTC for acting swiftly on the complaint of local industry and declared Roche guilty of dumping after investigation. However imposition of anti-dumping duties would have satisfied local pharma industry.
Dr Mughal said that the price of Pegasys has been fixed by the regulator at Rs13,000 but the company was selling it at Rs6,500, which was below fair market value.
The dumping left local manufacturers in a lurch therefore they invoked NTC, which confirmed involvement of Roche in dumping, he informed.
Dumping is employed when a foreign company wants to grab bigger of whole market share in another country by forcing local industry to face decline in output, loss of sales, reduced profits, reduced return on investments, adverse effects on cash flow, inventories, employment, wages, growth, investments, ability to raise capital, and eventual closure.