Question : Price Hike of Drugs

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

(a) whether the Government has any proposal to increase the prices of commonly used medicines like key antibiotics, anti-allergies and anti-malaria drugs, BCG vaccine and Vitamin C which are being used by the poor people on daily basis;
(b) if so, the details thereof;
(c) whether the NPPA has informed that the prices are increased by 50 per cent in the interest of the public;
(d) if so, the clarification regarding public interest which necessitated exorbitant price rise at this time of slow-down of the economy; and
(e) whether paragraph 19 of the Drug Prices Control Order 2013 has been used to reduce the drug prices but not for increasing the prices of common drugs and if not, the reasons therefor?

(a) to (c): The National Pharmaceutical Pricing Authority (NPPA) has received applications for upward price revision under para 19 of the Drugs (Prices Control) Order, 2013 (DPCO, 2013) citing various reasons like increase in Active Pharmaceutical Ingredient (API) cost, increase in cost of production, exchange rate variation etc. resulting in unviability in sustainable production and marketing of the drugs. Based on the recommendation of Standing Committee on Affordable Medicines and Health Products (SCAMHP), ceiling price of shortlisted 21 scheduled formulations of 12 medicines were revised by allowing one time price increase of upto 50% from the present ceiling price in public interest as an exceptional measure by invoking para 19 of the DPCO, 2013. The detail of price revision is as below:

Sl. No. Name of the Scheduled Formulation Dosage form & Strength Unit Revised Ceiling Price
(Rs.)
(1) (2) (3) (4) (5)
1. BCG vaccine Each Dose 8.75
2. Benzathinebenzylpenicillin Powder for Injection 12 lac units Each Pack 17.84
3. Benzathinebenzylpenicillin Powder for Injection 6 lac units Each Pack 11.81
4. Benzyl penicillin Powder for Injection 10 Lac Units Each Pack 7.64
5. Chloroquine Tablet 150mg 1 Tablet 1.16
6. Dapsone Tablet 100 mg 1 Tablet 0.35
7. Furosemide Tablet 40 mg 1 Tablet 0.74
8. Furosemide Injection 10mg/ml 1 ml 2.43
9. Metronidazole Oral Liquid 200 mg/5ml 1 ml 0.44
10. Metronidazole Tablet 200 mg 1 Tablet 0.68
11. Metronidazole Tablet 400 mg 1 Tablet 1.25
12. Metronidazole Injection 500mg/100ml 1 ml 0.20
13. Ascorbic Acid (Vitamin C) Tablet 500 mg 1 Tablet 1.34
14. Co-trimoxazole (Sulphamethoxazole (A)+Trimethoprim (B)] Tablet 400 mg(A)+80 mg(B) 1 Tablet 0.77
15. Co-trimoxazole (Sulphamethoxazole (A)+Trimethoprim (B)] Tablet 800 mg(A)+160 mg(B) 1 Tablet 1.98
16. Co-trimoxazole (Sulphamethoxazole (A)+Trimethoprim (B)] Oral Liquid 200mg(A)+40mg(B)/5ml 1 ml 0.32
17. Pheniramine Injection 22.75 mg/ml(10ml pack) 1 ml 1.67
18. Pheniramine Injection 22.75 mg/ml (2ml pack) 1 ml 2.24
19. Prednisolone Drops 1% 1 ml 4.92
20. Clofazimine Capsule 50 mg 1 Capsule 2.13
21. Clofazimine Capsule 100 mg 1 Capsule 3.63

(d): A Committee comprising of Adviser (Cost), Adviser DGHS and Deputy Drug Controller, DCGI under the convenorship of Director (Pricing), NPPA examined such formulations based on parameters of essentiality, market share of the applicant company and available alternatives etc. It was noted that these scheduled formulations are low priced drugs and have been under repeated price control. Most of these drugs are used as first line of treatment and are crucial to the public health program of the country. Many companies have applied for discontinuation of the product on account of unviability. Therefore, these formulations were considered for upward price revision to enable manufacturing and continued availability to the consumers.

(e): The Paragraph 19 of the DPCO, 2013 has been used to reduce the drug price, however the provisions also provides that in case of extra-ordinary circumstances the Government may allow an increase or decrease in the ceiling price or the retail price, as the case may be, irrespective of annual wholesale price index for that year in public interest.

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