B Mirror Desk : In April, Bangladesh experienced a significant drop in pharmaceutical exports due to holidays in major importing nations and a decrease in US aid. Nevertheless, for the first ten months of the current fiscal year, exports in this sector rose by 3.46% compared to the same timeframe last year. The Export Promotion Bureau (EPB) reported a 34.25% decline in April’s exports, totaling $11.94 million, down from $18.16 million in April of the previous year.
Despite the alarming drop, exporters maintain that the overall performance of the sector remains positive. From July 2024 to April 2025, pharmaceutical exports reached $177.42 million, compared to $171.49 million during the same period last year. Industry experts suggest that the April decline should not be interpreted as a long-term trend but rather as a temporary setback, attributed to short-term challenges such as port delays and fiscal tightening in the US and UK. Beximco Pharmaceuticals’ CFO, Mohammad Ali Nawaz, expressed concern over the April figures but emphasized the stability of overall export growth.
While he could not pinpoint the exact cause of the decline, he dismissed any connection to the Trump administration’s tariff policies. Other exporters cited supply chain issues, delays in orders funded by donors, and reduced demand in African and Latin American markets as key factors contributing to the April export downturn, particularly affecting Incepta Pharmaceuticals after a reduction in funding from the US aid agency USAID.Arefin Ahmed, the executive director of the company, informed Media that the funding cuts since last February have significantly disrupted their supply chain, leading to the cancellation of two major vaccine shipments. He expressed his frustration over a key customer abruptly halting their drug purchases, noting, “USAID previously procured drugs worth at least Tk 10 crore each month on a regular basis.” This situation has not only diminished their revenue but also hindered Incept’s capacity to meet its obligations in supplying emergency medications to various countries, including Bangladesh.
Despite a decline in drug exports in April, Jahangir Alam, the chief financial officer of Square Pharmaceuticals, mentioned to Media that there has been an uptick in international demand for their products, stating, “Our export order volume is strong, and we are receiving positive feedback globally.”
However, he remains uncertain about the reasons behind the drop in exports during April. Manjurul Alam, CEO of Beacon Medicare, a subsidiary of Beacon Pharmaceuticals, urged caution in analyzing the export figures from April, explaining, “Exports typically slow down at the start of the year, particularly when ASEAN nations halt work orders for holidays. Overall, exports are on the rise; this is merely a temporary dip.” He is optimistic about a market recovery as orders begin to flow back in, asserting that a month or two of reduced exports should not be a cause for concern. While Bangladesh’s pharmaceutical exports may be modest on a global scale, he emphasized the sector’s critical role in enhancing the country’s image and the industry’s reputation internationally.
