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India Redirects Petrochemical Inputs to Keep Drug Production Steady as Methanol Transport Lags

Officials warn the main risk lies in moving methanol from the northeast to major pharmaceutical hubs.

Overview

  • Government officials said key inputs are now allocated to drug makers on a pro‑rata basis, with BPCL supplying propylene used to make ibuprofen intermediates.
  • Plants can produce pharma‑grade methanol, yet distribution is held up by the long haul from Assam Petrochemicals to hubs in Maharashtra, Gujarat, Telangana and Himachal Pradesh.
  • The industry needs about 500 tonnes of methanol each day, and imports that once covered roughly 90% of this demand have been disrupted by the West Asia conflict.
  • To cut costs and widen supply, the government removed customs duty on 40 petrochemical products through an April 1 notification and temporarily eased quality rules for morpholine.
  • Officials said retail drug prices remain largely stable, aluminium foil for blister packs is returning to normal, and fuel supplies for plants are adequate as case‑by‑case support continues.