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Medicine price regulations: Insights into drug price control order

Content Editor: Dr. Sumana Mukhopadhyay

April 11, 2024 at 7:00:00 PM

Drug Costing, Inflation, Health Economics

Content Editor: Dr. Sumana Mukhopadhyay
  • Drug Price Control Orders (DPCO) 2013 categorize drugs into scheduled and non-scheduled formulations.

  • The National Pharmaceutical Pricing Authority (NPPA) annually revises the ceiling prices of scheduled medicines based on the Wholesale Price Index (WPI).

  • Recent media reports falsely claimed a significant 12% hike in medicine prices starting in April 2024.

  • However, for 2023, WPI (Wholesale Price Index) increased by a negligible 0.00551%, resulting in no change in ceiling prices for 782 medicines up to 31.3.2025.

  • Fifty-four medicines may see a small hike of Rs. 0.01, but companies may choose not to implement it.

  • Manufacturers of non-scheduled formulations cannot increase MRP by more than 10% in the preceding 12 months under DPCO 2013.

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