Retail prices of common medicines set to rise by a steep 11%

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The National Pharmaceutical Pricing Authority of India on March 25 announced a 10.7 percent change in the wholesale price index for the calendar year 2021 over the corresponding period in 2020.

This would mean that nearly 800 scheduled medicines included in the National List of Essential Medicines, used in most common ailments, will now increase by a steep 10.7 percent beginning April 1.

Moneycontrol, on March 3, was the first to report that the drug price regulator is set to raise a sharp price rise this financial year.

Read here I Exclusive | Prices of medicines used to treat common ailments set to increase steeply this year

“Based on the Wholesale Price Index (WPI) data provided by the Office of the Economic Advisor, Department of Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, the annual change in the WPI works out as 10.7 % during the calendar year 2021 over the corresponding period in 2020,” said the order.

“This is brought to the notice of all concerned for further action as per the provisions of Drugs (Price Control) Order, 2013,” it added.

The NPPA fixes the ceiling price of scheduled medicines as per provisions of the DPCO. Scheduled drugs are procured by the government for various health programmes and mostly provided in government hospitals free of cost.

These medicines are used to treat common conditions such as fever, infections, heart diseases, hypertension, skin diseases and anaemia, among others.

“NPPA has fixed ceiling prices of 886 scheduled formulations & 4 scheduled medical devices and fixed retail prices of 1,817 new drugs,” the government said in the Parliament this week.