Medicines trade balance falls

The balance of trade in medicines has dipped by 14% over the first six months of this year, in comparison to 2004, according to new figures released by the Association of the British Pharmaceutical Industry (ABPI).

In monetary terms the fall represents a £244m drop from £1,693m to £1,449m, caused by 'a slight drop in exports over the January-June period - from £5,967m in 2004 to £5,839m in 2005 - and a small rise in imports over the same period, from £4,274m to £4,390m', said the ABPI, who warned back in April that several key markers indicating the health of the industry had moved downward.

'These figures seem to confirm that there is cause for concern,' said Dr Richard Barker, director general of the ABPI. 'While the dip is small and only over six months rather than twelve, it sounds another warning signal.

'Among the reasons for the drop is the fact that manufacturers are finding the UK climate to be less globally competitive, with other countries offering specific incentives for local manufacture.

'We are talking to the Government about how best to retain the British pharmaceuticals manufacturing base that has contributed so strongly to our balance of trade and levels of skilled employment.'