Question : Price of Drugs

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

(a) the percentage increase registered in the prices of medicines during the last three years;

(b) whether some pharmaceutical companies have sought permission from the Government to increase the prices of medicines and if so, the details thereof along with the names of such medicines;

(c) the details of the medicines whose prices have been reduced during the said period; and

(d) whether it is a fact that the prices of 42 essential medicines used in treatment of various ailments including critical diseases have been capped by the Government and if so, the details of such medicines?

MINISTER IN THE MINISTRY OF CHEMICALS & FERTILIZERS AND PARLIAMENTARY AFFAIRS (SHRI ANANTH KUMAR)

(a) to (d): A statement is laid on the Table of the House.





Statement referred to in reply to Lok Sabha Starred Question No. *30 for answer on 19/07/2016 regarding Price of Drugs.


(a): Annual revision in the prices of scheduled formulations is permissible as per the Drugs (Prices Control) Order, 2013 (DPCO, 2013) to the extent of change in the Wholesale Price Index (WPI) for the particular year. NPPA revised the ceiling prices in respect of 530 scheduled medicines listed in Original Schedule – I of DPCO, 2013 after incorporating WPI @ 6.32% for the year 2013 (w.e.f. 01.04.2014) and 3.849% for the year 2014, (w.e.f. 01.04.2015) in compliance with the provisions contained in para 16 of DPCO, 2013. NPPA also notified the revised (reduction in prices) ceiling prices of scheduled formulations as on 2nd March, 2016 after applying WPI of (Minus) 2.7105% for the year 2015. These prices are effective from 1st April, 2016. A statement showing details of 530 scheduled medicines for which ceiling prices have been fixed with applicable Wholesale Price Index (WPI) / revised due to review / representation is at Annexure I.

(b): Few companies have given representations for increasing the prices of medicines beyond permissible limits mentioning various reasons like increase in cost/ tax/ foreign exchange rates etc. However, no Company has been given permission to increase the prices so far.

(c) & (d): The Government has reduced the ceiling prices of 530 medicines as on 02.03.2016 under NLEM 2011 of DPCO, 2013 (original Schedule – I) on the the basis of the negative WPI (Annexure – II).

Further the Government has reduced the prices of 404 medicines (including 42 medicines fixed on 23.06.2016 Annexure – III) under NLEM 2015 (revised Schedule – I) of DPCO, 2013.
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