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This is an archive article published on July 22, 1998

Acute shortage of vitamin B1 plays havoc

MUMBAI, July 21: Vitamin B1, a widely used drug in multivitamin preparations, is in acute shortage in the country. As the drug is not ava...

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MUMBAI, July 21: Vitamin B1, a widely used drug in multivitamin preparations, is in acute shortage in the country. As the drug is not available in India, the prices have gone through the roof and companies are increasingly finding it difficult to produce various multivitamin preparations commonly used by people.

According to industry sources, the price of vitamin B1 hydrochloride has touched a peak of Rs 4,000 per kilogram in the open market against its notified price of Rs 1,191. The other derivative, vitamin B1 mono-nitrate, is being quoted at Rs 3,000 per kg against its notified price of Rs 1,023. “Even if you pay this high price, it is not available in the market. It is an essential drug,” said an industry source. As the drug is in the negative list of imports, drug companies are not in a position to freely import the product from abroad. “The prices have shot up due to the virtual non-availability of vitamin B1 in the market. If the shortage continues, we’ll have to stop production of variousmultivitamin products,” said a source. The market for multivitamin products is estimated to be around Rs 800 crore.

The problem was aggravated when the only manufacturer of vitamin B1 in the country, Indian Drugs and Pharmaceuticals Ltd (IDPL), discontinued production more than a year ago. IDPL’s problems started compounding after the National Pharmaceutical Pricing Authority’s (NPPA) latest downward price revision for vitamin B1. In its notification dated April 29, NPPA slashed the prices of vitamin B1 from Rs 2,300 (thiamine hydrochloride) and Rs 2,400 (mono-nitrate) to Rs 1,191 and Rs 1,023 respectively.

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As a result, it was no longer economical for the public sector IDPL to continue production of vitamin B1. “This happened at a time when IDPL was already reeling under heavy losses,” said a source. The total requirement of vitamin B1 is over 153 tonnes, but it is not met as supply is restricted. Against this, IDPL had an installed capacity of 60 tonnes for producing both the derivatives of vitaminB1. IDPL produced only 2.30 tonnes in 1995-96.

According to informed sources, some quantities of vitamin B1 were allowed to be imported as seafood exporters were importing it under advanced licence. Though this import was allowed on the condition that it would be used as fish feed, it was diverted to the open market. Once it was detected, the Directorate General of Foreign Trade (DGFT) clamped restriction on imports from May 29. The shortage and high prices of vitamin B1 derivatives are likely to severely hit the multivitamin formulators. Some of the leading players have limited stocks required for one or two weeks. There are around 20 leading players of vitamin B1 including Merck, Pfizer, Glaxo and Ranbaxy. Becosules, the vitamin product of Pfizer, notches up a turnover of nearly Rs 70 crore.

The pharma industry had already represented to the government for a review on the policy regarding vitamin B1. The Organisation of Pharmaceutical Producers of India (OPPI) has approached the commerce ministry andNPPA for allowing the import of both derivatives of vitamin B1 under OGL.

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