More than Rs. 200 crore worth of drugs and pharmaceuticals for the export markets are lying with pharmaceutical companies in the country on account of the continuing truck operators strike, according Chemicals, Pharmaceuticals and Cosmetics Export Promotion Council.

The officials in Chemexcil said that if the strike continues, the export orders worth Rs. 800 crore would not be affected in April itself. On an average, Rs.1000 crore worth of drugs and pharmaceuticals exports are exported every month from India.

The truck operators' agitation in Maharashtra began on April 1. The strike was called in protest against the Bombay High Court decision to ban vehicles 15 years old from March 31.

"Our exports are badly affected on account of the operators' strike. It has also jeopardized our production and dispatches. Since the strike has reached at all-India level, the situation has worsened further," said R.L. Shenoy, director-finance, Merck India Ltd. "Over Rs. 4 crore worth exports are pending with us. It has a cascading effect, where if the consignment for a particular period is delayed, will affect the subsequent months' exports and the related accounting work," said D.B. Mody, director, JB Chemicals.

"The pharmaceutical industry is going through a lean patch. The strike, VAT fiasco, Iraq war and SARS virus has impacted the industry too much," said Dr. Gopakumar Nair, Chairman, BDH Industries.

Meeting the helpless situation, most of these companies have resorted to a cut of 25-30 per cent of their production capacities. The dispatches are also lying pending with the companies. Some of the companies have not cut their production level as either their C&F agents have absorbed surplus of stocks from them or the surplus stock they produced during the VAT fiasco, when the traders resorted to cut in purchases is being used right now.

The dealers also added their woes to the saga. According to Kishore Shah, President, Retailing and Dispensing Chemists' Association, the medicine requirement within the city of Mumbai is taken care of the depots, where pharma companies have already stocked their medicines. "The dealers right now are fetching the medicines to their stores in taxis, cars and other means of transport. The situation will be safe in the city for another two weeks," assured Shah. However, the matter is highly unstable for the rest of Maharashtra and the country. "It is very volatile for other parts of Maharashtra and rest of the country. Since the strike is only three days old in the country, the heat is not really showing. If the matter is not resorted in another two or three days, it will turn explosive," said Dilip Mehta, the All India Organisation of Chemists and Druggists [AIOCD].