Any government with a keen concern for public health enforces strict restrictions on unauthorised distribution of medicines, especially those medicines which can have serious consequences for users, if misused. Judged by this yardstick, successive governments receive poor marks. The sale of prohibited, unregistered, or unapproved drugs is still widespread in the country, according to an inspection report based on a sample of 138 medical stores prepared by the Department of Drug Administration (DDA). It found that at least nine per cent stores do sell drugs that are not registered and approved by the government and 12 per cent do not keep a sales record of those categories of drugs classified as narcotic, psychotropic or psychoactive, though, legally, they are supposed to do so. The DDA says it has initiated action against violators and seized unauthorised medicines from stores in Kathmandu, Lalitpur, Kaski, Tanahun, Mustang, Jumla and Banke.

Violators are liable to a six-month suspension of licence, a fine of Rs. 25,000, or a sentence of up to five years. Despite frequent warnings by the DDA, some of the wholesalers and retailers seem undeterred in pushing banned items. This also reflects the DDA’s weakness in enforcing the legal requirements, norms and standards. But in discouraging malpractice, it is important that the guilty face stern action. It is also alleged that some DDA officials allow themselves to be kept in good humour by medicine dealers, by means other than compliance with official norms. This explains, at least partly, why the government has been lax or selective in cracking down on violators. Besides, there appear to be some inconsistencies in now permitting and now banning the same foreign brands. Aspects like these need to be looked into and corrective action should be taken.

Both foreign and local brands compete in the Nepali market. Local pharmaceutical companies complain that the government has not done enough to increase their competitiveness, which is necessary to help them better compete with imports as well as boost Nepali exports. Indeed, in a positive development, the finance ordinance, promulgated the other day, has fully exempted VAT on (associated) raw materials and packing materials purchased by drug firms. However, incentives, though necessary, should not be at the cost of consumers, in price and quality. In encouraging local firms, the need to rejuvenate the Royal Drugs Ltd, a government undertaking, should not be neglected, preferably by enlisting private participation.