Lok Sabha Question No. 1132 (UNSTARRED), answered on 2022-07-22
Subject: Prices of Medicines
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Rakesh Singh

## GOVERNMENT OF INDIA MINISTRY OF CHEMICALS & FERTILIZERS DEPARTMENT OF PHARMACEUTICALS

LOK SABHA UNSTARRED QUESTION NO. †1132 TO BE ANSWERED ON 22 nd  July, 2022

## Prices of Medicines

## †1132. SHRI RAKESH SINGH:

Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

- (a) whether the prices of medicines have been fixed by the National Pharmaceutical Pricing Authority in the country;
- (b) if so, the name of the diseases whose medicines are included thereunder;
- (c) whether life saving medicines for fatal/serious diseases are also included thereunder; and
- (d) if so, the details thereof and if not, the reasons therefor?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI BHAGWANTH KHUBA)

(a)  & (b):  In pursuance of provisions of the National Pharmaceuticals Pricing Policy, 2012 (NPPP, 2012) and the Essential Commodities Act, 1955, the Government notified the Drugs (Prices Control) Order, 2013 (DPCO-2013). The National Pharmaceutical Pricing Authority (NPPA), an attached office of the Department of Pharmaceuticals fixes the ceiling price of all scheduled formulations specified in the first schedule of the DPCO, 2013. All manufacturers of scheduled medicines have to sell their products within the ceiling price (plus applicable Goods and Service Tax) fixed by the NPPA. It also fixes retail price of new drugs under DPCO, 2013  for  existing  manufacturers  of  scheduled  formulations.  In  respect  of  non-scheduled formulations, a manufacturer is at liberty to fix its Maximum Retail Price (MRP) but cannot increase the same by more than 10% of what was prevalent during the preceding 12 months.

The details of drugs, including medical devices, brought under price control/ regulation by NPPA are as under:

- (i) Ceiling  prices  of  890  scheduled  formulations  across  various  therapeutic categories under NLEM 2015 have been fixed by NPPA.
- (ii) Retail price of approx. 2,023 new drugs under DPCO, 2013 have been fixed.
- (iii) MRP of 106 non-scheduled drug formulations capped, including that for 22 diabetic and 84 cardiovascular drugs.
- (iv) Ceiling  price  of  Orthopaedic  Knee  Implants  fixed  under  Para  19  of  DPCO, 2013.
- (v) Trade Margin of non-scheduled formulations of 42 select Anti-cancer medicines capped under 'Trade Margin Rationalization' approach as a pilot for proof of concept.

(vi) Regulated the price of Oxygen Concentrators, Pulse Oximeter, Blood Pressure Monitoring Machine, Nebulizer, Digital Thermometer and Glucometer under 'Trade Margin Rationalisation' Approach.

(c) & (d): National List of Essential Medicines (NLEM) notified by the Ministry of Health & Family Welfare consists of essential medicines falling under various therapeutic categories. These medicines are incorporated in the First Schedule of the DPCO, 2013 and their ceiling prices is fixed by NPPA as per provisions of DPCO, 2013. The details of ceiling prices and retail prices of  various  formulations  fixed  by  NPPA  are  available  at  its website  at nppaindia.nic.in.

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