By Admin 
The war between Israel and Iran has created a stir in the Middle East or West Asia, which is likely to have the biggest impact on imports and exports. Iran has threatened to close the Strait of Hormuz. This sea route is the main route of import and export between the Middle East and South Asian countries. Meanwhile, Indian Pharmaceutical Export Promotion Council (Pharmexil) Chairman Namit Joshi has said that due to military conflict in the Middle East and increase in global transportation costs, the Indian pharmaceutical industry may suffer a loss of Rs 2,500 crore to Rs 5,000 crore due to disruption in exports in the month of March.
The share of Gulf Corporation Council (GCC) member countries in the total exports of Indian pharmaceutical companies is 5.58 percent. He said that the value of pharmaceutical exports in the West Asia and North Africa region increased from $ 1320.4 million in the financial year 2020-21 to $ 174.96 million in the financial year 2024-25.
According to Namit Joshi, major markets like United Arab Emirates (UAE), Saudi Arabia, Oman, Kuwait and Yemen are heavily dependent on India for affordable and generic medicines. Exports have also increased in emerging markets like Jordan, Kuwait and Libya.
Namit Joshi said that the ongoing challenges in the global freight market may affect the export of Indian medicines to Gulf and North African countries. The Pharmexil chief said freight rates for both imports and exports have doubled and companies are under immense pressure due to additional charges ranging from $4,000 to $8,000 per consignment.
He said that in case of complete disruption of exports in March due to the West Asia crisis, the industry could suffer a possible loss of about Rs 2,500 crore to Rs 5,000 crore. Namit Joshi appealed to the government to consider measures like freight relief, subsidy and logistics assistance for drug exporters.