Demonetisation: Use of old notes ups sales of key medicines

NEW DELHI: Chemists across the country have witnessed a jump in sales of medicines for chronic disease conditions like diabetes, blood pressure besides dermatology products and over-the-counter drugs after the announcement of demonetisation of Rs 1000 and Rs 500 notes on November 8. Retailers say people used old Rs 500 and Rs 1000 notes to buy such medicines which are used regularly and hence their stocks can be used for a long time. This is further corroborated by the sales estimates for the month.

According to estimates of All India Organisation of Chemists and Druggists, the growth of the pharmaceutical market during November was driven by this segment of medicines. For instance, the sales of anti-diabetic drugs, which constitutes around 9% of the total market, grew by 32.6% on year, whereas cardiac and gynecology segments grew by around 20%.

Estimates show sales of chronic therapies grew from Rs 14.1 crore in October to Rs 16.8 crore in November.

Apart from hospitals, government outlets and public utilities, medicine shops were among the places notified to accept old currency notes in the days after demonetisation was announced.

However, some pharmaceutical retailers and distributors complain that demonetisation has made it difficult for them to pick up stocks of medicines as most of the dealings are in cash.