The situation around Iran and the risk of blockade of the Strait of Hormuz could lead to a drug shortage in Europe.
Oxu.Az reports citing "La Tribune" that the European pharmaceutical industry depends 80% on China and India for raw materials. The pharmaceutical sectors of these countries face difficulties due to instability in oil and gas prices. Meanwhile, flight delays in Asia and the Middle East have severely disrupted supply chains.
Deniz Ünal, representative of CEPII Economic Research Center, says: "While alternative delivery routes exist, their costs are much higher. The supply chain for some substances is so complex that it could lead to shortages over time."
The article highlights that many components like ethylene, urea, and paraffin are directly imported from Persian Gulf countries. According to insurance company Coface, certain antibiotics and paracetamol are at risk. Company representative Joe Duay said: "Medicines sold for a few euro cents heavily depend on oil. When the system is under pressure, not only prices rise but physical supply of some substances becomes impossible."
Earlier, "Le Parisien" wrote that the Iran crisis caused a sharp increase in construction material prices in France.
