The National Pharmaceutical Pricing Authority (NPPA) on Wednesday justifying its price ceiling indicated that it still left enough room for the stent makers to make a decent margin and the drug price control order (DPCO) has provision for separate prices for superior products – two main concerns raised by the stent manufacturers.
In an interview to CNBC-TV18, Mahendra Patel, MD of Lincoln Pharmaceuticals spoke about the results and his outlook for the company.
In an interview with CNBC-TV18, DG Shah, Secretary General of the Indian Pharmaceutical Alliance (IPA), talked about the government's decision to ban 344 fixed drug combinations and said the order was bad in law.
For drugs priced between Rs 20-50, the panel has proposal to cap the margin at 40 percent. It also recommended capping the margin at 50 percent for the drugs priced from Rs 2-20
As of now, the government keeps a tab on the prices of essential medicines which are included in the National List of Essential Medicines (NLEM). "There are about 100 crore people in the country who are either below poverty line, or in low income group or in middle income group.
Four pharma firms today moved the Delhi High Court challenging government's new drug pricing order that asked them to slash prices of certain medicines.
CNBC-TV18's Archana Shukla reports that the recently notified Drug Price Control Order (DPCO) will bring down the prices of 348 essential drugs by as much 35-40 percent and may see a rejig in pharma companies' rankings.
According to the approved policy, prices of medicines will now be capped by taking simple average of all brands which have more than one per cent market share instead of input costs.
Pharmaceutical firms will have to issue a public notice and inform authorities six months in advance if they planned to stop production of any formulation of essential drugs, according to a government order.