Changing Dynamics of Trade Balance of Therapeutic, Prophylactic Uses of Medicaments in Pakistan.

Abstract

This paper aims to present structural changes and trade competitiveness in Pakistan’s pharmaceutical and biotechnology industries. Trade of pharmaceutical inputs including therapeutic and prophylactic uses of medicaments were analysed to improve their exports. The data was collected for exports and imports of therapeutic, prophylactic uses of Medicaments for Pakistan and major export destinations (China, Germany, South Africa and India) for the period 2003-2020. The normalized RCA (NRCA) index was calculated as an alternative measure of comparative advantage and trade competitiveness of the country and for forecasting, the ARMA model was applied. Results revealed that the trade of therapeutic, prophylactic uses of Medicaments was increasing with time. Pakistan is now well known for its export of pharmaceutical products. This study will help policymakers and planners for improving the trade of therapeutic, prophylactic uses of Medicaments in Pakistan.