THE MINISTER OF CHEMICALS AND FERTILIZERS AND MINISTER OF STEEL (SHRI RAM VILAS PASWAN):
(a) to (c) In accordance with the provisions of the Drugs (Prices Control) Order, 1995,
(DPCO 1995) the Government fixes/revises prices of the drugs listed in its First Schedule
and formulations based thereon. In case, there is any violation of the approved/notified
price of a Scheduled formulation, action is taken under the provisions of the DPCO` 1995.
Prices of non-Scheduled formulations are fixed by the manufacturers themselves keeping in
view the various factors like cost of production, marketing/selling expenses, R&D expenses,
trade commission, market competition, product innovation, product quality, etc.
The Government/National Pharmaceutical Pricing Authority (NPPA) regularly monitors the
movement of prices of medicines and intervenes whenever instances of unreasonable
increase in prices affecting public interest adversely are noticed.