Russian Drug Production Falls

Drug production by Russian firms under the Health Ministry umbrella in first-half 1996 fell 5.3% to 2,7557.6 billion roubles ($286.4 billion). A total of 156 firms produced drugs in the period, not all under the Ministry umbrella. 36 drugmakers cut production while 23 were able to raise output, say official statistics, but the negative trend was dominant and the industry's performance decline is put at 278.6 million roubles.

Production of finished drugs fell 2.5% over first-half 1995, with companies accounting for about 41.2% of finished drug output reducing production by 81 million packs. The most marked fall was at the Tatarkhimfampreparaty in Tatarstan, where production fell by 31.1 million packs because of a slump in demand. Volume of drugs produced as ampoules (721.7 million units) fell 10%, mainly due to volume cuts by seven major producers which used to supply over half of Russia's total output. There were also shortages of raw materials and glass tubing.

Production of raw vitamins reached 487.2 tons, less than 50% of first-half 1995 output. In contrast, production of antibiotics raw materials was down only 14.7%.