Iraq's pharmaceutical industry flourishes, saving over $1 billion annually
Al-Lami told the Iraqi News Agency (INA) that the government initiated a comprehensive program to localize the pharmaceutical industry from its very first week in office. This drive is underpinned by supportive Council of Ministers resolutions issued in 2023, which facilitate both the expansion of existing projects and the establishment of new ones. These facilitations include offering loans to investors and accepting production lines as collateral for opening credit.
Government support extends to ensuring the availability of essential raw materials for both current and future industrial projects. Furthermore, the Ministry of Health has significantly reviewed and increased the prices at which it purchases medicines from national factories, more than doubling them. This policy has led to a surge in the value of contracts for the General Company for Marketing Drugs, rising from 144 billion Iraqi Dinars at the start of the current government's term to over 600 billion Dinars today. Al-Lami highlighted that domestically produced medicines now cover approximately a quarter of the cost of imported drugs, directly contributing to the annual savings exceeding $1 billion.
The number of applications to establish factories for medicines and medical supplies has climbed to 178 as of July 1, up from 100 previously. These applications cover a diverse range of products, including various medicines, medical consumables, surgical sutures, intravenous solutions, syringes, and other medical devices, all thanks to the robust government support for investors.
The number of operational pharmaceutical factories in Iraq has increased to 34, a notable rise from 22 at the time the current government was formed. Al-Lami pointed out that the 22 factories had remained constant since the establishment of the first pharmaceutical factory in 1956 until the current administration. The newly established factories are now operating at full capacity, substantially increasing the coverage of locally produced medicines.
Al-Lami stressed that domestically produced medicines adhere to the highest international standards and specifications, undergoing rigorous pharmaceutical oversight using the latest technologies. Clinical trials are also being conducted for complex medications, such as those for blood diseases and cancer, which are now being produced locally through technology transfer from international companies.
Concluding his remarks, Al-Lami reiterated that the Prime Minister's directives emphasize that 'efficacy and safety in drug production are a red line.' He highlighted that during the current government's tenure, 38 new medications for hypertension, 33 for diabetes, and 58 types of antibiotics covering both adults and children in various forms have been added to local production. Furthermore, the local production of 25 cancer treatment drugs has commenced through technology transfer initiatives.
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