Foreign currency shortages blamed for fall in drug output in Zimbabwe

Foreign currency shortages have been blamed by Datlabs, one of Zimbabwe's leading pharmaceutical companies, for severely depressing its drug manufacturing operations.

'The company had adequate stocks of fluids to manufacture drugs, but was finding it difficult to source foreign currency to import other ingredients,' explained technical director Tseurai Makura. 'The company was failing to buy foreign currency from the Reserve Bank of Zimbabwe's auction system.'

Last year the central bank introduced a foreign currency auction system to boost the availability of hard currency in Zimbabwe, but demand for the money is greater than supply and many companies are unable to compete and make a profit. Datlabs manufactures pharmaceuticals, hospital disposables and cosmetic products. As part of its expansion programme, the company plans to begin manufacturing of antiretroviral drugs (ARV).