Over 9 lakh pharmacies in India may remain shut on May 20

Chemist associations across India have called for a nationwide shutdown to protest against the growing business of online medicine platforms and e-pharmacies.

The All India Organisation of Chemists and Druggists (AIOCD) has announced a nationwide strike on May 20, protesting against the growing e-pharmacy business. The organisation alleges these online platforms are operating without proper regulations. Moreover, traditional pharmacies are bearing the brunt as online platforms sell steeply discounted medicines that offline pharmacies find impossible to match. 

Around 12.4 lakh members are a part of the organisation, and nearly 9.8 lakh chemist shops are expected to remain shut on May 20, according to Rajiv Singhal, general secretary, AIOCD. Several other chemist associations have stood up in support of this decision. 

The reason for strike

According to Singhal, the e-commerce and quick commerce platforms are rapidly growing and operational without proper regulations. Several prescription medicines, MTP tablets, and spurious medicines are easily available online and are consumed by people without supervision. 

A medicine is not a regular commodity; once consumed, it can have a lasting effect on a person’s body and should not be sold loosely, he adds. Further pointing to loopholes where a customer orders a prescription medicine online in Mumbai and the doctor prescribing it sits in Hyderabad. On record, the doctor hands out a prescription, but in reality, the inspection is not done efficiently. 

The body also opposes continuation of Covid-era relaxations G.S.R. 220(E), and G.S.R. 817(E), linked to e-pharmacy operations. They have demanded withdrawal of both.

Traditional pharmacies bear the brunt

The organisation also notes that the rising online business has led to traditional players witnessing a downfall. The survival of the retail pharma community is growing tougher each day. It is estimated that nearly six crore people in India are affected, this includes businessmen, their families, and employees.

Corporate players offer heavy discounts on medicines that local players can’t match. Singhal adds that many companies are providing 40 to 50 per cent discounts. Meanwhile, a local player only has a 10 to 12 per cent discount margin. The cost of running small pharmacies has also increased over the years, with rent, electricity, salaries, and miscellaneous expenses rising. 

The trade bodies are demanding stricter regulation for online pharmacies, equal business conditions, and stronger policy support for traditional players. 

To ensure people in emergencies remain unaffected, the state governments have been asked to to activate district-level monitoring and ensure that government hospitals and emergency health centres remain fully stocked and operational.