The Korea Pharmaceutical and Bio-Pharma Manufacturers Association (KPBMA) said on the 9th that it has set up and is operating an "Middle East war emergency response headquarters" to respond to instability in pharmaceutical supplies stemming from the Middle East.
As concerns grow over disruptions in crude oil supply amid rising tensions in the Middle East, instability in the supply of naphtha, a petrochemical product, continues. Naphtha is used not only for pharmaceutical packaging and containers but also in the production of active pharmaceutical ingredients and finished drugs, potentially affecting the entire supply chain. In Korea as well, concerns about instability in pharmaceutical supply have emerged.
The emergency response headquarters is led by Vice Chair Lee Jae-guk as the head and operates three divisions: ▲ comprehensive situation team ▲ external cooperation team ▲ on-site communication team.
The comprehensive situation team checks domestic pharmaceutical supply conditions and reviews response measures, while the external cooperation team shares export-import trends and overseas developments. The on-site communication team gathers member companies' difficulties and operates an emergency contact network.
The association plans to hold weekly countermeasure meetings to review supply conditions and, for items expected to face instability, to prepare response measures in cooperation with the government. Earlier, starting in early March, the association has been identifying member company trends and damage situations and has been conducting checks on the supply of pharmaceuticals and packaging materials together with the government.
In the domestic pharmaceutical industry, companies have complained about the policy of cutting prices for generics and the burden of a strong dollar, and with the addition of Middle East risks, some say a "triple whammy" has become a reality.
Noh Yeon-hong, chair of the Korea Pharmaceutical and Bio-Pharma Manufacturers Association (KPBMA), said, "On top of drug price cuts and a strong dollar, instability in the Middle East has overlapped, putting the industry in a complex predicament," adding, "We will focus on ensuring a stable supply of medicines and minimizing damage to the industry through a swift response system."