A Parliamentary Standing Committee has urged the government to frame a policy for affordable non-scheduled drugs, citing excessive profiteering and steep markups of up to 1,800%. The panel recommended urgent intervention by the Department of Pharmaceuticals and NPPA to regulate prices, ensuring ordinary citizens have access to essential medicines.
India’s Parliamentary Standing Committee on Chemicals and Fertilisers has raised alarm over the soaring prices of non-scheduled drugs—medicines not covered under the National List of Essential Medicines (NLEM) or price-control schedules. The committee’s report, Price Rise of Medicines in the Pharmaceutical Sector Impacting Citizens, highlights how unchecked margins are making common drugs unaffordable.
The panel found that markups between 600% and 1,800% exist between stockist prices and MRPs, creating widespread profiteering. While the government has previously used trade margin rationalisation to regulate 42 anti-cancer formulations—cutting prices of nearly 500 brands by 50%—non-scheduled drugs remain outside strict regulation.
The committee has asked the Department of Pharmaceuticals and the National Pharmaceutical Pricing Authority (NPPA) to urgently design a framework to plug loopholes and ensure affordability.
Major Takeaways
Excessive Markups: Non-scheduled drugs show profit margins up to 1,800%.
Policy Gap: Current price controls apply only to NLEM-listed medicines.
Past Success: Trade margin rationalisation reduced cancer drug prices by 50%.
Urgent Call: NPPA and Department of Pharmaceuticals tasked with drafting new policy.
Citizen Impact: Rising costs disproportionately affect ordinary households.
Conclusion: The panel’s recommendations underscore the urgent need for systemic regulation of non-scheduled drugs. By extending affordability measures beyond essential medicines, India can curb profiteering and ensure equitable access to healthcare for millions.
Sources: Indian Express, Vision IAS, PWOnlyIAS.