GST implementation can lower down Stock of Medicine

By Registrationwala

7th May 2017

 

GST may bring uncertainty after implementation is spread on Social media. This is the reason vendors are decreasing the storage of medicines. Even many stockiest are returning heavy amounts of medicines to the manufacturers. Since they are worried that after the GST is implemented, it may have to suffer due to the possible deficit between tax payouts and tax refunds. Industry experts believe that due to low stock, there may be an imbalance in demand and supply of certain medicines for a few days. However, this problem will not remain for a long time, so there is no need to panic.

Due to the fear of lack of medicines on social media platforms, there is anger and patients are being asked to deposit the medicines right now in view of the 'critical crisis' that will occur on July 1. Vice President (D Asia) of GlaxoSmithKline Pharmaceuticals and MD A. Vaidhas have said that "Reducing stock is a normal process to avoid the effect of (after the GST being implemented)." So many medicines can remain in the stock so that the demand for the market can be met.
Under the GST, tax rates are yet to be fixed on medicines. In this case dealers and stockiest are adopting the policy of weight and watch. All India Origin Chemists and Distributors Ltd. Aishwaksa director Ameesesh Mussoorkar said, "Drug distributors often have 40 days of stock while retail shopkeepers hold 10 days of their medicines. If the GST rate is not correct, the distributor can reduce its stock from 40 days to 15 days in the last week of June.
It will not affect its retail shop. ' He said there will be no shortage of medicines and the absence of storage will be completed again in the first week of July.

 

 

GST implementation can lower down Stock of Medicine

2017-05-07