Centre Tightens Methanol Supply for Pharma Amid West Asia Crisis

India is moving quickly to secure methanol supply for pharma as West Asia crisis begin to strain imports of this key raw material.

The methanol supply for pharma sector has come under pressure due to geopolitical tensions affecting global trade routes, raising concerns across the pharmaceutical industry.

Methanol plays a critical role in drug manufacturing, especially in producing intermediates and formulations. With imports facing uncertainty, the government has stepped in to prevent any slowdown in medicine production.

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Officials are currently in talks with domestic producers like Assam Petrochemicals and Gujarat Narmada Valley Fertilizers & Chemicals to boost local availability.

Speaking during the Inter-Ministerial Briefing on Recent Developments in West Asia on Thursday, Satyaprakash TL, Joint Secretary, Departmentof Pharmaceuticals, Ministry of Chemicals & Fertilizers said that methanol has emerged as a key area of concern, even as efforts areunderway to stabilise supplies.

While India does produce methanol, the challenge lies in distribution. Most production facilities are located in specific regions, while major pharma hubs are spread across other parts of the country. This has created logistical hurdles, slowing down the movement of supplies where they are needed most. Even as domestic output increases, efficient transportation remains a key concern.

Despite these issues, there is no immediate impact on drug prices or availability. Authorities are closely monitoring the situation and coordinating with industry players to ensure stability. Efforts are also underway to improve supply chain efficiency and avoid any disruption to essential medicines.

To ease pressure, the government has reduced customs duty on several petrochemical inputs, helping manufacturers manage costs during this uncertain period. The focus remains on maintaining a steady methanol supply for pharma, ensuring that production lines continue without interruption.