The PBN Company
Unofficial Translation

Lenta.Ru
October 9, 2001

One Third of Pharmaceuticals in Russia Might be Fake

Experts of the Association of International Pharmaceutical Manufacturers (AIPM) predict that counterfeit medicines could capture between 20 -30 % of current market share if a 20% VAT is imposed on medicine, AK&M reports.

One of the reasons AIPM and its Russian partners oppose subjecting pharmaceuticals to VAT as of January 1, 2002, is that the resulting increased cost of safe, legally manufactured pharmaceuticals will inevitably lead to a rise in the circulation of counterfeit drugs.

For example in August 2000 Aventis Pharma recalled 1,000 units of the antibiotic Claforan after counterfeits of the product were discovered in pharmacies.

According to Jeffrey Lack, Chairman of the AIPM Counterfeiting Committee, the actual share of fake drugs on the Russian market is now seven percent.