War on counterfeits exposes rivalry between drug distributors

NAIROBI, KENYA: Kenyans have been warned to brace themselves for a sharp increase in drug prices as on counterfeits escalates.

The Kenya Pharmaceutical Distribution Association (KPDA) accuses its business rival, the Kenya Association of Pharmaceutical Industry (KAPI), of riding on the counterfeit war to fight KPDA through misinformation.

KPDA are parallel distributors who get their drugs from licensed exporter or distributor and whose drugs are comparatively cheaper.

"KAPI which is largely constituted by multinational drug companies is going round telling Kenyans that KPDA is selling counterfeit drugs. They are basically taking advantage of the war on counterfeits to settle business scores," says KPDA Chairman Dr Kamamia Murichu.

"We are behind the government's effort to get rid of counterfeits in our system but our rivals should not use the opportunity to discredit our business," he says.

Dr Murichu says misinformation is not only hurting KPDA business but also the patients who look up to the distributor for affordable drugs.

As a parallel drug distributor, KPDA supplies products which have been legitimately placed on the market by the manufacturer.

KPDA specialises in filling gaps in the supply of medicines and medical supplies which the big multinationals are not willing or are not interested in marketing in Kenya.

During the World Anti-Counterfeiting Day, the Chairman of the Kenya Association of Pharmaceutical Industry (KAPI) Anastasia Nyalita raised a red flag over increasing imports of illicit medicines into the country.

In a statement seen to be targeting KPDA, KAPI also condemned all drugs whose packaging has neither English nor Kiswahili inscriptions.

Dr Wafula Ripu, the Vice-Chairman of Kenya Pharmaceutical Distribution Association dismissed the claim terming it a target by the multinational corporations to tighten their grip on Kenya's drug market without giving patients alternative to affordable medicine.

He criticised the use of industry jargon to confuse the public at a time when the government was cracking down on counterfeit products. 

"We wish to correct the false impression being created by people who are not conversant with trade conventions which Kenya has ratified. Parallel importation and parallel trade is not the same as dealing in counterfeit goods."

He said "Grey Goods are well defined in international trade conventions and refer only to genuine products which have been legitimately placed on the market by bona fide manufacturers and which goods are freely and lawfully traded by authorised persons without the manufacturer's permission as is provided for under the competition laws of free market economies."

He added: "Any suggestion that grey goods are the same as counterfeit goods is an insult to the discipline of economics."