Question : DIFFERENCE IN PRICES OF BRANDED GENERIC MEDICINES



(a) whetier there is a big difference between the prices of the branded generic medicines in the country and the same medicines supplied and sold by Jan Aushadhi Stores;

(b) if so, the details thereof and the reasons therefor;

(c) the difference between the prices of the non-branded generic medicines being sold by Jan Aushadhi Stores and the prices of branded medicines being sold in the open markst in various parts of the country; and

(d) the total number of the medicines and formulations under price control order and without price control order respectively? ANSWER MIMSTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION AND

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (SHRI SRIKANT KUMAR JENA)

(a) to (c) Yes Sir. A comparison of prices of few medicine is illustrated as below:-

Name of salt	Dosage	Pack	Average	Prices of	Difference	Market	Generic	Price of	Medicines	Branded	sold at Jan	Medicin	Aushadhi	es (Rs.)	Stores (Rs.)

Antibiotic: 250 mg 10 55.00 11.10 5 times higher Cijrofloxacin

Pain Killer: 100 mg 10 36.70 3.35 10 times higher Di;lofenac

Common Cold; 10 mg 10 20.00 2.75 7 times higher Cetrizme

Fever: 500 mg 10 10.00 2.45. 4 times higher Paraceiamol

Pain & lOOmg 10 25.00 2.70 9 times higher Fever Nimesulide

Cough Syrup 110ml 33.00 13.30 2.5 times higher Bottle

The difference in the prices can be attributed primarily due to following reasons:-

In the case of branded medicines, because of competition, extensive and intensive promotional efforts are generally required to sell the products which may result in heavy expenses, whereas in the case of sale of generic drugs through the Jan Aushadhi Stores, medicines are being supplied directly to the stockists/retailers at comparatively low margins. In the case of Jan Aushadhi medicines, there is a conscious decision to keep the prices of the medicines at affordable levels for the benefit of common man unlike . branded medicines the decision to keep the prices low or high is decided by the company.

In the case of scheduled drugs, the prices of 74 bulk drugs and the formulations containing any of these scheduled dmgs are controlled under the provision of the Dmgs (Price Control) order, 1995. NPPA/Govt. fixes or revises prices of scheduled drugs/formulations as per the provisions of the DPCO, 1995. No one can sell any scheduled drug/formulation at a price higher than the price fixed by NPPA/Govt. Therefore, there cannot be price variation in cases of scheduled drugs.

In respect of drugs-not covered under che Drugs (Prices Control) Order, 1995 i.e. non-scheduled drugs, manufacturers fix the prices by themselves without seeking the approval of Government/NPPA. Such prices are normally fixed depending on various factors like the cost of bulk drugs used in the formulation, cost of excipients, cost of R&D, cost of utilities/packing material, trade margins, quality assurance cost, landed cost of imports etc.