On January 28, 2020, National Pharmaceutical Pricing Authority (NPPA) fixed the pricing of 17 formulations under Drugs Prices Control Order (DPCO) 2013.1

Background

In order to make the drugs accessible to general public at cost effective rates, NPPA decided to reduce the ceiling price of 17 formulations including glimepiride + metformin tablet (Rs. 4.95), telmisartan + chlorthalidone tablet (Rs. 13.28), aceclofenac + paracetamol tablet (Mytigesic Plus Rs. 3.04), diclofenac + paracetamol tablet (Inflamase Plus, Rs. 2.782), clopidogrel tablet (Rs. 6.25), metoprolol tablet (Rs. 3.03), rosuvastatin + clopidogrel capsule (Rs. 12.95), telmisartan + cilnidipine tablet (Rs. 8.19), paracetamol tablet (Rs. 3.38), amoxycillin + potassium clavulanate dry syrup (Rs. 3.27) (Genomox-CV Forte), dextromethorpran hydrobromide + chlorpheniramine maleate syrup (Re. 0.57) and paracetamol + phenylephrine hcl + diphenhydramine hcl + caffeine tablet (Rs. 3.36). The formulations which have undergone price fixation are human normal immunoglobulin.

Note:

  • All manufacturers of these 17 formulations i.e. "new drug" under paragraph 2(u) of the DPCO 2013, should revise the prices of all such formulations downward not exceeding the ceiling price as specified plus goods and services taxes applicable, if any.
  • The ceiling price for a pack of the scheduled formulation shall be arrived at by the concerned manufacturer in accordance with the ceiling price specified as per provisions contained in paragraph 11 of the Drugs (Prices Control) Order, 2013. The manufacturer shall issue a price list in Form–V from date of notification as per paragraph 24 of the DPCO 2013 which states that "every retailer and dealer shall display the price list and supplementary price list, if any, as furnished by the manufacturer on a conspicuous part of the premises where he carries on his business" to NPPA through IPDMS and submit a copy to state drug controller and dealers.
  • The revised ceiling price is applicable only to those individual manufacturers / marketers who have applied for the same by submitting Form-I for price fixation / revision as stipulated under DPCO 2013 and subject to fulfilment of all the applicable statutory requirements, as laid down by the government under relevant statutes/ rules including manufacturing license permission from the competent authority i.e. the Central/State Licensing Authority, as may be applicable, by the concerned manufacturer/marketing companies.
  • In case the retail price of the 17 formulations are not revised, the manufacturer shall be liable to deposit overcharged amount along with the interest thereon under the provisions of the DPCO 2013.

Conclusion

By fixing the price of these 17 formulations, NPPA has made these essential medicines affordable for the public. This will help the society in treating diseases with ease and will also provide stringent guidelines to pharmaceutical companies in price fixing and not increasing the retail price above the mentioned price limit.

Footnotes

1 http://www.nppaindia.nic.in/wp-content/uploads/2020/01/English_1.pdf

Originally published 28 April, 2020

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