From Tk60,000 to Tk4,000: How local pharma makes cancer drugs affordable

Infographics: TBS

Fifteen years ago, Bangladesh depended almost entirely on costly imported cancer medicines, spending more than Tk1,000 crore a year and placing life-saving treatment out of reach for most patients.

But over the past decade, a quiet transformation within the domestic pharmaceutical industry – driven by rising cancer cases, expanded production capacity and tax-friendly government policies – has reshaped the oncology landscape. Bangladesh now manufactures around 95% of its cancer drugs locally, dramatically improving access for low-income and poor patients.

The government waived taxes and duties on cancer drug production and raw material imports, significantly reducing costs for manufacturers. Today, at least 17-18 pharmaceutical companies, including Beacon Pharmaceuticals, Incepta, and Renata, produce oncology drugs.

SM Mahmudul Haque Pallab, executive vice-president of Beacon Pharmaceuticals, said Bangladesh now produces almost all types of cancer medicines.

"Beacon started cancer drug production in 2009. Today, we have over 100 molecules and can meet about 95% of the country's total cancer drug demand," he said. After meeting domestic needs, Beacon exports to Sri Lanka, Nepal and Myanmar, where it is recognised as a leading manufacturer.

Dramatic price drops

Local manufacturing has sharply reduced the price of many cancer drugs.

"Since domestic production expanded, cancer drug prices have fallen significantly," said Mohammad Mizanur Rahman, general manager at Incepta Pharmaceuticals. "This saves foreign currency and makes life-saving treatment more affordable for low-income patients."

Erlonix (erlotinib), a lung cancer drug, once cost Tk7,500 per unit when imported; it now sells for Tk750.

The price of pegfilgrastim, a crucial supportive care drug, fell from Tk40,000 to between Tk4,000 and Tk20,000, depending on the manufacturer.

Filgrastim, used to restore neutrophil counts during chemotherapy, dropped from Tk60,000 to Tk15,000. After developing the raw material locally, Incepta now sells it for just Tk4,000.

Incepta has recently developed the active ingredient for filgrastim domestically – an important milestone that reduces both costs and import dependency.

"Developing APIs and biosimilars is time-consuming and expensive," Mizanur Rahman said. "We expect the government to expand incentives in this area."

Direct delivery to prevent counterfeiting

To ensure quality and safety, many oncology manufacturers now deliver medicines directly to hospitals, pharmacies, or patients, bypassing retailers.

"We maintain our own cold-chain distribution network, ensuring genuine products reach patients and reducing the risk of counterfeiting," said Mahmudul Haque Pallab of Beacon Pharma.

Government incentives fuel growth

The government has played a key enabling role. The National Board of Revenue has exempted cancer drug production from VAT and waived import duties on raw materials and machinery. Earlier this year, the interim government reduced withholding tax on raw material imports from 5% to 2%.

These incentives have made cancer drugs far more accessible nationwide. According to manufacturers, monthly oncology drug sales now total around Tk50-55 crore. Had Bangladesh remained dependent on imports, annual spending would again exceed Tk1,000 crore.

"If Bangladesh wants to strengthen its cancer drug ecosystem and become globally competitive, more policy support for biosimilar and API production is essential," said Incepta's Mizanur Rahman.

Rising cancer burden

According to the World Health Organization, Bangladesh records 167,256 new cancer cases annually, with 116,598 deaths. The rising burden has prompted pharmaceutical companies to invest aggressively in oncology manufacturing – not only as a business opportunity but as a national necessity.

"Ten years ago, cancer wasn't so widespread, but now cases are rising alarmingly," said Sayed Kaiser Kabir, CEO and managing director of Renata. "We're investing so people can get cancer drugs at a lower cost."

Renata operates two oncology plants – one for solid oral drugs and one for injectables. "These factories haven't reached break-even yet. We built them for the future," Kabir said.

Expanding beyond borders

With domestic supply now largely self-sufficient, Bangladeshi companies are expanding to export markets across South and Southeast Asia.

One Pharma Limited has set up a biosimilar manufacturing plant in Bogura.

"Nine of the world's ten top-selling drugs are biosimilars," said KSM Mostafizur Rahman, founder and MD of One Pharma. Countries such as Afghanistan, Sri Lanka, and Myanmar have already signed preliminary agreements to import products once full-scale production begins.

The company has imported most of its machinery and plans to begin producing injectable cancer drugs soon.

Meanwhile, ACI Pharmaceuticals is establishing its own biosimilar production unit.

"Our factory is fully equipped with advanced technology. We aim to serve both the local market and global markets," said Md Mazharul Islam, general manager of ACI Pharma.

Next frontier: Biosimilars and immunotherapy

Globally, cancer treatment is moving rapidly towards immunotherapy and biosimilars, precision treatments designed to harness the body's immune system. Bangladeshi firms are gearing up for that future.

"The future of cancer treatment lies in immunotherapy," said Mahmudul Haque Pallab of Beacon. "We've already developed a biotech and biosimilar facility to produce these advanced drugs. Once operational, it will open a new era in Bangladesh's cancer care," he said.

Experts urge more research, API production

While oncologists acknowledge the progress in domestic drug production, they call for more clinical trials and stricter quality assurance.

"We're using locally made cancer drugs with good results," said Professor Syed Akram Hossain, chairman of the Department of Clinical Oncology at Bangladesh Medical University.

However, he said local clinical trials are necessary to verify efficacy and ensure safety. Prices have dropped, but there's room for further reduction, especially as the government has lowered taxes on raw materials.

He also emphasised that Bangladesh should prioritise API production to ensure long-term sustainability and reduce import dependence.