Question : Action against Pharma Companies



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

(a) whether the Government has any information regarding the Pharma companies selling medicines at prices higher than the price capped by the National Pharmaceutical Pricing Authority (NPPA);
(b) if so, the details thereof, company and State/UT-wise;
(c) if not, the reasons therefor;
(d) whether any action has been taken/notices issued by the NPPA in this regard; and
(e) if so, the details and outcome thereof?

Answer given by the minister



MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND HIGHWAYS; MINISTRY OF SHIPPING AND MINISTRY OF CHEMICALS AND FERTILIZERS (SHRI MANSUKH L. MANDAVIYA)

(a) to (e): The National Pharmaceutical Pricing Authority (NPPA) monitors the prices of both scheduled and non-scheduled formulations on regular basis to check overcharging by pharmaceutical companies. Whenever companies are found to be overcharging the consumer in sale of medicine, NPPA issues notices to the companies.
Since inception of NPPA till May 2018, 1794 demand notices (including suo-moto deposits) have been issued to pharmaceutical companies for their having overcharged patients on the sale of formulations at prices above the ceiling price notified by NPPA. Demand Notices have been issued for total amount of Rs. 6058.07 crore. Amount to the tune of Rs. 829.88 crore has been recovered from the companies to the Government in overcharging cases. The detailed list of overcharging cases where demand notices have been issued is available on NPPA website www.nppaindia.nic.in.

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