Government defers trade pact talks with EU, upset with ban on GVK tested drugs
The government has deferred proposed talks on a bilateral trade pact with the European Union (EU) as it is upset with its suspended sale of 700 pharmaceutical products that were clinically tested in India.
August 05, 2015: "The Government of India has taken a decision to defer the proposed talks between the chief negotiators on India- EU Broadbased Investment and Trade Agreement for the present. The Government of India is disappointed and concerned by the action of EU in imposing legally binding ban on the sale of around 700 pharma products clinically tested by GVK Biosciences, Hyderabad", according to a release by the Commerce Ministry.
The European Medicines Agency had banned the marketing of around 700 generic medicines for alleged manipulation of clinical trials conducted by GVK Biosciences in July. "The inspection revealed data manipulations of electrocardiograms during the conduct of some studies of generic medicines, which appeared to have taken place over a period of atleast five years", according to a release by the European Medicines Agency.
"EU’s ban will hit India’s exports in that region as well as other countries as EU is a major market for our pharmaceutical products", as stated by Mr Ajay Sahai, Director General and Chief Executive Officer of the Federation of Indian Export Organisation.
Indian pharmaceutical exports to EU were worth USD 1.52 bn in 2014-15 (April –March).