Medicine Prices Stabilize in Pakistan Following Deregulation Policy

In a major policy shift, Pakistan’s government has deregulated the prices of non-essential medicines, resulting in widespread availability and improved access to critical treatments. The move, introduced at the end of 2023, has been hailed by health experts and pharmaceutical leaders as a breakthrough in addressing chronic drug shortages and curbing black-market exploitation.

Previously, government-fixed prices were far below production costs, making it unsustainable for manufacturers to supply essential drugs like insulin, tuberculosis treatments, and even basic painkillers. With deregulation, manufacturers can now price medicines more realistically, reviving production and restoring supply chains.

Key outcomes of the policy include:

  • Restored Access: Life-saving and over-the-counter medicines are now widely available at pharmacies nationwide.
  • Reduced Counterfeits: Genuine products have replaced previously rampant counterfeit alternatives.
  • Revived Production: Pharmaceutical companies have resumed manufacturing, thanks to viable pricing.
  • Improved Public Confidence: Patients and healthcare providers report greater trust in medicine availability.

According to industry data, prices for top pharmaceutical brands rose by an average of 16.5%, largely due to hardship adjustments and new product launches. Despite this, the Consumer Price Index for medicines in June 2025 showed urban prices rising by 13.05% and rural prices by 15.3%, still below inflation in other sectors.

Importantly, over 460 essential medicines remain under strict government price control to ensure affordability for the public. Provincial health authorities confirm that previously scarce drugs—including anti-epileptics, psychiatric treatments, and cancer therapies—are now accessible across Pakistan.

This strategic deregulation has not only stabilized medicine prices but also strengthened the pharmaceutical ecosystem, offering renewed hope for millions of patients.

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