Pharma stocks edge lower after government tightens rules on cough syrup sales

Shares of select pharmaceutical companies traded lower on Tuesday after the Ministry of Health and Family Welfare tightened regulations governing the sale of cough syrups across the country.

The regulatory change could affect companies with exposure to cough syrup and respiratory formulations.

Mankind Pharma fell 1.11%, Abbott India declined 1.07%, Cipla slipped 0.52%, Dr. Reddy's Laboratories shed 0.40%, Glenmark Pharmaceuticals lost 0.17%, while Sun Pharmaceutical Industries eased 0.08%.

The ministry has amended the Drugs Rules, 1945, withdrawing an exemption that previously allowed the sale of cough syrups in villages with a population of less than 1,000 without certain retail licensing requirements.

Under the revised rules, cough syrups can now be sold and dispensed only through licensed pharmacies, irrespective of village size. The amendment was notified through a gazette notification issued by the government.

Earlier, Schedule K of the Drugs Rules permitted the sale of cough syrups in smaller villages without compliance with specific retail licensing provisions. Following the removal of the word Syrup from the relevant entry, the exemption will no longer apply.

The government said the amendment is intended to strengthen regulatory oversight of syrup formulations and align the framework with current public health and safety requirements.

According to the ministry, the move is expected to encourage responsible distribution of cough syrups and improve compliance with regulatory standards. Manufacturers, distributors and retailers have been advised to adhere to the provisions of the Drugs and Cosmetics Act and related rules.

Powered by Capital Market - Live News