Question : Drugs under DPCO


(a) the total number of drugs that have been added to be brought under the Drug price Control Orders (DPCO) for price control in the current year along with the details of drugs specifically included for Cancer, Aids, Diabetes and Cardio vascular ailments;
(b) the financial benefits that have accrued to the patients as a result of bringing these drugs under the price control;
(c) whether many patients/consumers have used the “Pharma Jan Samadhan” Portal of the NPPA for grievance redressal in the current year ; and
(d) the total number of cases that the NPPA has processed till date and the total amounts involved in such matters?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI HANSRAJ GANGARAM AHIR)
(a) & (b): Pursuant to the announcement of National Pharmaceutical Pricing Policy, 2012, Government has notified Drugs (Prices Control) Order, 2013 (DPCO, 2013) on 15.05.2013. All the medicines specified in the National List of Essential Medicines 2011 (NLEM) have been included in the First Schedule of DPCO, 2013 and brought under price control. Out of total 680 NLEM medicines (628 net medicines) under scheduled category of DPCO, 2013, NPPA has already fixed the ceiling prices in respect of 530 medicines under provisions of the said order. As a result of reduction in the prices of scheduled medicines under price control, the price benefit accrued to the common man is estimated to the extent of to Rs. 2422 crores.

The details of reduction in prices of 530 scheduled formulations effected under DPCO, 2013 as compared to the highest price prevailing prior to the announcement of DPCO, 2013 are given as under:

<> Statement showing reduction in price with respect maximum price as on 31.10.2015

% reduction with respect to Maximum Price No. of drugs

0<= 5% 80
5<=10% 50
10<=15% 57
15<=20% 43
20<=25% 65
25<=30% 49
30<=35% 26
35<=40% 34
Above 40% 126
530
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This includes 47 formulations for cancer, 20 formulations for AIDS/HIV, 6 formulations for Diabetes and 53 for cardiovascular diseases.
In addition, maximum retail price (MRP) has been capped in respect of 106 non scheduled medicines, out of which 84 are used for treatment of cardiovascular diseases and 22 for diabetes, under para 19 of DPCO, 2013. The price benefit accrued to the common man on account of price fixation of these 106 formulations related to anti- diabetic and cardio vascular therapies to the tune of around Rs.350 crore. The reduction in prices effected as compared to the highest price prevailed prior to price capping is as follows:

<> % reduction with respect to Highest prevailing MRP (No. of Drugs)

Diabetic Cardiovascular Total
0 <= 5% 7 10 17
5 <= 10% 2 10 12
10 <= 15% 1 11 12
15 <= 20% 1 8 9
20 <= 25% 2 12 14
25 <= 30% 2 7 9
30 <= 35% 2 7 9
35 <= 40% 1 4 5
Above 40% 4 15 19
Total 22 84 106
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Further, NPPA has also fixed the retail price of 247 ‘new drugs’ under para 5 of DPCO, 2013.
(c): The web portal Pharma Jan Samadhan (PJS) was launched on 12th March, 2015 for speedy and effective complaint redressal system regarding (i) availability of medicines, (ii) overpricing of medicines, (iii) sale of ‘new drugs’ without prior price approval, and (iv) refusal of supply or sale of medicines. The details of complaints/ grievances registered on PJS by patients / consumers and redressal of such complaints since introduction of the PJS are as follows:

<> Particulars Nos.
Overpricing 12
Shortage 134
Refusal to sell 147
Without price approval 2
Total 295
Action taken / Dispose off 295
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(d): The status of overcharging cases under DPCO 1995 / 2013 till 31st October 2015 and amount involved in this matter is as follows.

Particulars No. of Cases under DPCO 1995 No. of Cases under DPCO 2013 Total No. of cases Estimated Demand under DPCO 1995 Estimated Demand under DPCO 2013 Total estimated demand Amount realized under DPCO 1995 Amount realized under DPCO 2013 Total Amount realized Amount Out-standing under DPCO 1995 Amount Out-standing under DPCO 2013 Amount Out-standing Amount under litigation
Total Demand 1220 130 1350 4804.42 210.95 5015.37 312.62 66.42 379.04 4491.80 144.53 4636.33 3726.88

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