Basic information
Outline of the system
The Pharmaceutical Services Division, Ministry of Health (PSD, MOH) regulates the importation of precursor/controlled chemicals and medicine making machine into Malaysia under the Customs (Prohibition of Imports) Order 2017. PSD, MOH also regulates the importation of dangerous drugs and psychotropic substances (in the form of raw material and finished goods) under the Dangerous Drugs Act 1952 and the poisons substances under the Poisons Act 1952 respectively.
PSD, MOH issues electronic permit approval through an online web-based system called e-Permit for precursors/controlled chemicals, and printed Authorizations for dangerous drugs and psychotropic substances. Import approval is a single permit/Authorization basis for each consignment. PSD also issues poisons licences for importation of poisons under the Poisons Act 1952.
Product coverage
E-Permit application covers precursors, controlled chemicals and medicine making machine. Precursors are substances scheduled in Table I and II of the United Nations Convention of Illicit Traffic in Narcotic Drugs and Psychotropic Substances, 1988 (1988 Convention). Currently only Table I requires an import permit. Dangerous Drugs Import Authorization application covers all substances listed in the First Schedule of the Dangerous Drugs Act 1952. Psychotropic Substance Import Authorization application covers all substances listed in the Third Schedule of the Psychotropic Substances under the Poisons Act 1952. Poisons licences includes all poisons listed in the First Schedule of the Poisons List under the Poisons Act 1952.
Nature of licensing
Automatic
If Automatic, administrative purpose
Non-Automatic
If Non-Automatic, description of the notified Non-Automatic Licensing regime
Products under restriction as to the quantity or value of imports
Malaysia is a signatory to the United Nations Convention of Illicit Traffic in Narcotic Drugs and Psychotropic Substances, 1988 (1988 Convention) since 1993. Under Article 12 of 1988 Convention, the parties are obliged to take measures to prevent diversion of the precursors and monitor international trade in order to identify suspicious transactions because precursors are frequently been used in the illicit manufacture of narcotic drugs and psychotropic substances.
Apart from that, Malaysia is signatory to the Single Convention on Narcotic Drugs, 1961 (1961 Convention) since 1978. Under Article 31 of the 1961 Convention, parties are obliged to control under licence the import and export of drugs except where such import or export is carried out by a State enterprise or enterprises, and also control all persons and enterprises carrying on or engaged in such import or export.
Malaysia is also signatory to the Convention on Psychotropic Substances, 1971 (1971 Convention) since 1986. Under Article 12 of the 1971 Convention, every party permitting the export or import of substances in Schedule I or II of the Convention shall require a separate import or export authorization.
Poisons licence is for the importer to import poisons listed under the Poisons Act 1952 and it is not restrict the quantity or value for imports.
Questions for products under restriction as to the quantity or value of imports
See answers 6.1-6.11
The system applies to products originating from which country?
All countries.
Expected duration of licensing procedure
Legal requirements
Is the licensing statutorily required?
With regard to precursors/controlled chemicals, the relevant laws are the Poisons Act 1952 and its Regulations, Customs (Prohibition of Import) Order 2017 and United Nations Convention of Illicit Traffic in Narcotic Drugs and Psychotropic Substances, 1988 (1988 Convention). Import permits are issued under the Customs (Prohibition of Imports) Order 2017, which is made pursuant to the powers conferred by subsection 31(1) of the Customs Act 1967. Goods subjected to import permits are scheduled in the said Order.
For dangerous drugs, the relevant laws are the Dangerous Drugs Act 1952 (DDA 1952) and the Single Convention on Narcotic Drugs, 1961. Import Authorizations are issued pursuant to Section 20 of the DDA 1952. Substances subjected to import authorization are listed in the First Schedule, DDA 1952.
For psychotropic substances, the relevant laws are the Poisons Act 1952 (PA 1952) and the Convention on Psychotropic Substances, 1971. Import Authorizations are issued pursuant to Section 30 of the PA 1952 and Regulation 4 of the Poisons (Psychotropic Substances) Regulations 1989. Substances subjected to import authorization are listed in the Third Schedule of the Psychotropic Substances, PA 1952. By virtue of section 30 of the PA 1952, the Minister may from time to time, after consultation with the Poisons Board, by order published in the Gazette amend the Third Schedule. However it would not be possible to abolish the system without legislative approval.
For Poisons Licences, the relevant laws are the Poisons Act 1952 and its Regulations.
Does the legislation leave designation of products to be subject to licensing to administrative discretion?
For dangerous drugs, by virtue of section 45 of the DDA 1952, it is possible for the Minister to exempt certain drugs and institutions from certain provisions of the Act.
For psychotropic substances, by virtue of section 30 of the PA 1952, the Minister may from time to time, after consultation with the Poisons Board, by order published in the Gazette amend the Third Schedule.
For Poisons Licences, by virtue of section 6 of the PA 1952, the Minister may from time to time, after consultation with the Poisons Board, by order published in the Gazette amend the First Schedule.
Is it possible for the government to abolish the system without legislative approval?
For dangerous drugs, psychotropic substances and Poisons Licences it would not be possible to abolish the system without legislative approval.
With regard to precursors/controlled chemicals, by virtue of subsection 31(1) of the Customs Act 1967, it is possible for the Executive to abolish the system without legislative approval since the said provision clearly confers powers to the Executive to prohibit the importation into Malaysia either absolutely or conditionally.
For Poisons Licences, it would not be possible to abolish the system without legislative approval.
Eligibility of applicants
Is there a system of registration of persons or firms permitted to engage in importation?
What persons or firms are eligible to apply for a licence?
Only a person working in a registered company or a registered pharmacist in possession of Poison Licence under Poisons Act 1952 is eligible to apply for a precursor/controlled chemicals import permit/ Poisons Licences.
Only a registered pharmacist in possession of a Type A Poison Licence in a company with an Importer Licence is eligible to apply for a dangerous drug/psychotropic substance Import Authorization.
Is there a registration fee?
Is there a published list of authorized importers?
The list of Poisons Licences holder can be access online at www.pharmacy.gov.my.
Contact point for information on eligibility
Ministry/Authority
Address
Telephone
Fax
E-mail address
Website
Contact officer
Submission of an application
Administrative body(ies) for submission of an application
Pharmaceutical Services Division, Ministry of Health
Documentation requirements
What information is required in applications?
What documents is the importer required to supply with the application?
All import permit application must fulfil the requirements as below:
Import Application
Precursor and Other Controlled Substance:
• Purchase Order (PO) to supplier;
• Raw materials' usage record (If keeping stock);
• Purchase Order (PO) from buyer;
• A copy of buyer's Poisons Licence if buyer resells poison;
• End-User Declaration Form - Filled up by end user; and
• Safety Data Sheet.
Import Application for Medicine Making Machine:
• Manufacturer's Licence from Drug Control Authority (DCA) (for pharmaceutical manufacturers);
• Medicine Making Machine Import Declaration Form;
• Purchase Order (PO) to supplier/Proforma Invoice;
• Packing List;
• Machine Specifications/Catalogue/Picture of Machine; and
• Purchase Order (PO)/Proforma Invoice from buyer (If resells).
Dangerous Drugs and Psychotropic Substances:
• Pharmacist's Type A licence;
• Approval Letter for Annual Estimates/Assessments;
• Company's Import Licence/Company's Manufacturing Licence;
• Product Registration Certificate/Proof of Product Registration/Company's Import List;
• Import Exemption Letter from the Drug Control Authority (for importation of unregistered products);
• End User Declaration and purchase order from research facility (import for research purposes);
• Clinical Trial Import License (import for clinical trials); and
• Permit to purchase and use psychotropic substances (import for use in industries).
Poisons Licences:
The requirements for Poisons Licence application can be view online via https://www.mypharmac.pharmacy.gov.my.
Window of submission of an application
How far in advance of importation must application for a licence be made?
Import poisons licence must be applied prior to any importation.
Are there any limitations as to the period of the year during which application for licence can be made? If so, explain
The prerequisite licence is valid per year basis except for non-scheduled substances under the Poisons Act 1952.
Issuing the license
Can a licence be granted immediately on request?
Request for an immediate licence is subjected to a genuine and emergency request, provided that the application completely fulfils the requirements.
Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence
Which administrative body is responsible for approving application of licences?
No. The importer does not have to approach more than one administrative organ.
Must the applications be passed on to other organs for visa, note or approval?
No. The importer does not have to approach more than one administrative organ.
Are there any other conditions attached to the issue of a licence?
No.
Fees and other administrative charges
Is there any licensing fee or administrative charge?
No.
What is the amount of the fee or charge?
Is there any deposit or advance payment required associated with the issue of licences?
No.
Amount or rate?
Is it refundable?
What is the period of retention?
What is the purpose of this requirement?
Refusal of an application
Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria?
Applications may be refused if the importers committed an offence against the law or failed to comply with the guidelines/directives.
Are the reasons for any refusal given to applicants?
Reasons for refusal would normally be given.
Have applicants a right of appeal in the event of refusal to issue a licence?
Yes.
If so, to what bodies and under what procedures?
They may appeal to the PSD-MOH and submit the permit application under the existing licensing procedure.
Importation
Are there any limitations as to the period of year during which importation may be made?
The prerequisite licence is valid per year basis except for non-scheduled substances under Poisons Act 1952.
What documents are required upon actual importation?
Customs declaration form, invoice, approved import permit, Poisons Licence.
Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
Yes only for pharmaceutical products which require import license and product registration certificate.
Conditions of licensing
What is the period of validity of a licence? Can the validity be extended? How?
Import permit for precursor/controlled chemicals is valid for 3 months. While for Dangerous Drugs and Psychotropic Substances is 6 months. Poisons licences is valid for one year and it is issued in yearly basis. The applicant can submit a new application for extension.
Is there any penalty for the non-utilization of a licence or a portion of a licence?
No.
Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
No.
Foreign Exchange
Is foreign exchange automatically provided by the banking authorities for goods to be imported?
Not applicable.
Is a licence required as a condition to obtaining foreign exchange?
Not applicable.
Is foreign exchange always available to cover licences issued?
Not applicable.
What formalities must be fulfilled for obtaining the foreign exchange?
Not applicable.
The following questions are only for products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally)
Where is information on allocation and formalities for licences published? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
In 2006, the Commission on Narcotic Drugs has requested member States to implement Annual Legitimate Requirements (ALR) for certain precursor substances. Malaysia has started to implement since 2011.
Under the 1961 Convention, member states are obliged to administer the estimates system with regard to the annual medical and scientific requirements for narcotic drugs listed in Schedules I and II of the Convention. Malaysia has implemented the estimates system on dangerous drugs since 2008.
In 1997, pursuant to the Economic and Social Council resolution 1996/30 of 24 July 1996, INCB established assessments of annual licit domestic requirements for psychotropic substances for countries that had not submitted such information and encouraged all Governments to make their own assessments as soon as possible. Malaysia has implemented the Assessment of Psychotropic Substances system on psychotropic substances since 2008.
The quantity of ALR and Estimates per country is submitted yearly to INCB, and the Assessment of Psychotropic Substances once every 3 years. INCB will publish the all three as reported by member States in their official website (http://www.incb.org).
Is the size of the quota determined: on yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for a fresh licence on a six-monthly or quarterly basis?
Yearly basis. The importers can apply the permit/authorization at any time throughout the year. The validities of permit and authorization are 3 months (precursors/controlled chemicals) and 6 months (dangerous drugs and psychotropic substances) respectively, from the approved date but should not exceed 31 December of the current year.
Are licences allocated for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate)
Globally, there are 4 precursor substances which currently require ALR. The companies with approved ALR need to submit an import application and PSD-MOH will monitor the import transaction from time to time. Under the 1988 Convention, the government of the exporting country obliged to notify prior export to the government of the importing countries via INCB online portal. The name and address of importers and exporters are supplied in the notification.
Importation of all goods (raw material and finished product) containing Dangerous Drugs or Psychotropic Substances are dependent on the approved estimates and assessments respectively. The import authorizations are issued to local importers with approved estimates/assessments. Once the importation is completed, the importer is required to return the endorsed Authorization to the PSD, MOH in order for the estimates/assessments to be reconciled. A copy of the Authorization, complete with names and addresses of importers and exporters, is sent to the competent national authority of the exporter country for their reference.
From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
Companies may submit Import permit application once ALR has been approved and starting from 1 January of the year.
What are the minimum and maximum lengths of time for processing applications?
The result of ALR narcotic estimates and psychotropic substance assessment applications will be issued before 1 January of the particular year while the import permit for precursor/controlled chemicals will be processed within 3 working days. Dangerous drug and psychotropic substance import authorizations will be processed within 7 working days of receiving a complete application.
How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
Can be the same day.
Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
Import permit will be processed by PSD. The importer does not have to approach more than one administrative organ.
If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
Not applicable.
In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
For precursor/controlled chemicals, all importation of substances listed under the Customs (Prohibition of Imports) Order 2017 requires import permit and will be processed within 3 working days. For Dangerous Drug and Psychotropic Substance, Import Authorizations are required. The authorizations are issued upon receiving an application from the importer (not automatically).
In cases where imports are allocated on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Not applicable.
Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
No.