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The corporate controversy around Ranbaxy Laboratories doesn’t seem to have affected its standing among clients.
Chemists and pharmacists continue to sell its medicines and doctors prescribe these irrespective of the recent developments. Medical practitioners feel the issues around quality raised some years earlier had been rectified and aren’t a risk to health.
Last week, Ranbaxy pleaded guilty to making fraudulent statements to the US Food and Drugs Administration on how it tested drugs at two of its Indian plants and agreed to pay $500 million as penalty
Business Standard spoke to various chemists, druggists and distributors. They said they hadn’t seen any drop in prescription or sales of Ranbaxy drugs. “It is more of a corporate war. Nothing has changed in the trade. Patients continue to rely on doctor prescriptions and we have not come across any complaint or aberration in the sale of Ranbaxy-made medicines,” said Sandeep Nangia, president, Delhi Retailers and Distributors Chemist Association. He’s also a distributor of Ranbaxy medicines.
A Mumbai-based chemist and member of the All India Organisation Of Chemists & Druggists said, “Sales of Ranbaxy medicines are normal. The issues were in the past and we believe the new management has taken all corrective measures to ensure quality.”
Doctors and medical practitioners believe so, too. Some even say issues highlighted are in the US and nothing of that nature had come to notice in India. “I have been prescribing Ranbaxy’s medicines, as well as other generic medicines from various other Indian companies for many years. I have never ever come across any adverse impact in my patients. Then, why should I believe someone raising concerns suddenly in the US?” asked a senior practitioner. He added the medicines manufactured by domestic companies were far cheaper than those by multinationals and unless there was solid proof, one should not boycott these.
Another doctor, in private practice, said, “Patients are also equally aware these days. I do not see any reason for distrust when things have been taken care of. If there are problems, the regulator will raise an alarm.”
Still, market research agencies said there could be some drop in the company’s sales data for the current month but this would be apparent only when the data was processed next month.
Indian Pharmaceutical Alliance Director General D G Shah said, “Some collateral damage is likely for Ranbaxy in countries like Africa because of the recent developments. Multinationals might use this opportunity against the use of generic drugs but it is a near-term crisis and I do not think have an impact in the long term.”
The company’s shares closed today at Rs 390.3 on the BSE, down 0.7 per cent from their previous close.
