PCD Pharma Franchise Guide

Managing Expired and Broken Drug Stock in a PCD Pharma Franchise Agreement

Quarantine non-saleable stock

Expired, damaged, leaking or otherwise non-saleable medicines should be separated from saleable inventory according to the applicable procedure. Use physical and system controls so that non-saleable stock cannot be dispatched accidentally.

The process should be documented rather than handled informally.

Keep batch-level records

Record product, batch number, quantity, expiry date, invoice reference, reason for quarantine and date identified. Batch-level records make supplier communication, reconciliation and traceability easier.

When damage is noticed at receipt, document the shipment condition promptly and follow the supplier's reporting process.

Use FEFO inventory discipline

First-Expire, First-Out is a practical inventory-management principle for dated products. Review expiry buckets regularly and prioritise stock with earlier expiry dates where appropriate.

Inventory ageing should be a standing management KPI, not a once-a-year exercise.

Understand the supplier's policy before ordering

Ask how near-expiry, expired and damaged stock is handled, what evidence is required, the claim window, replacement process and freight responsibility. Do not assume a replacement promise exists unless it is part of the applicable commercial terms.

Clear policy reduces disputes and improves inventory planning.

Handle returns and disposal correctly

Do not mix returnable and non-returnable inventory or send pharmaceutical stock back informally. Follow the company's approved process and applicable regulatory requirements.

The exact disposal route can depend on the product and jurisdiction, so use current authority guidance or qualified compliance advice where necessary.

Build an expiry-risk dashboard

Track stock by expiry buckets, value, batch and movement. Flag products approaching critical dates and use the information to adjust purchasing.

The supplied homepage describes dependable supply, logistics support and batch traceability. Prospective partners should request the current written expiry, breakage, replacement and return policy before committing working capital.