Can blockchain stem the tide of counterfeit drugs in India?

Counterfeit drugs are a multi-billion dollar problem. Now pharma companies are looking for a technological solution, could blockchain be the answer?

The manufacture and distribution of fake prescription drugs is a global problem. Counterfeit products are causing a lot of damage to economies, industries, consumer health and safety. From the perspective of companies, they know they will suffer revenue and reputational losses whilst also incurring extra expenses for regulations, brand protection and legal advice if a solution to counterfeit drugs is not found.

In the best case scenarios, these fake drugs can be sugar pills that will have none of the effects of the drugs they are supposed to replicate. In the worst cases, the drugs can contain high quantities of dangerous substances, such as paint, antifreeze or fentanyl, which can be fatal for unsuspecting consumers who bought the pills online.

The World Health Organization estimates that counterfeit drug revenue is currently at around $200bn and approximately 10%-15% of global pharmaceutical trading involves counterfeit drugs sold on the black market, internet or directly to patients via prescriptions. Since 2013, the organisation had received approximately 1,500 reports of fake and low-quality products as of April 2018. This year, the US Food and Drug Administration had to arrange a meeting regarding the problem of illegal opioids being sold online through unofficial websites and social media platforms.

The largest majority of counterfeit medications come from India, China and the US.

India is the third largest producer of generic drugs and vaccines and exports to almost 200 countries, accounting for 10% of the world’s drug production rates. However, the nation is also a global epicentre for counterfeit drugs, with WHO estimating that one in five drugs sold in the country are fake. Now, an international partnership is bringing together IT giant Oracle, policy institute NITI Aayog, Apollo Hospitals and pharma manufacturer Strides Pharma Sciences to pilot a pioneering drug supply chain using blockchain digital ledger technology to try and tackle the issue.

https://www.pharmaceutical-technology.com/features/can-blockchain-stem-the-tide-of-counterfeit-drugs-in-india/