AMN / WEB DESK
The Government has said that media reports claiming significant hike in prices of medicines are false and misleading. The Union Health Ministry said, these reports further claim that more than 500 medicines will be affected by the increase in price.
The Ministry said, such reports are false, misleading and malicious. National Pharmaceutical Pricing Authority (NPPA) under the Department of Pharmaceuticals annually revises the ceiling prices of scheduled medicines on the basis of Wholesale Price Index. The Ministry said, there will be no change in prevailing ceiling prices for 782 medicines while 54 medicines will have a minuscule increase of one paisa.
“The National Pharmaceutical Pricing Authority (NPPA) under the Department of Pharmaceuticals annually revises the ceiling prices of scheduled medicines on the basis of Wholesale Price Index (WPI). The scheduled medicines included in the Schedule-I of the DPCO, 2013 are essential medicines,” it added.
The Health Ministry informed that during the calendar year 2023 over the corresponding period in 2022, the annual change in WPI with base year 2011-12 was (+) 0.00551 per cent as per data published by the Department for Promotion of Industry and Internal Trade (DPIIT). Accordingly, the Authority in its meeting held on 20th March has approved the WPI increase @ (+) 0.00551 per cent for the scheduled medicines.
“The ceiling prices on 923 medicines are effective as on date. Based on the above-mentioned WPI factor of (+) 0.00551 per cent, there will be no change in the prevailing ceiling prices for 782 medicines and the existing ceiling prices will continue to prevail up to 31st March 2025,” it said.
It further said, “Fifty-four medicines with ceiling price ranging from Rs 90 to Rs 261 will have a minuscule increase of Rs 0.01(one paisa). As the permissible price increase is minuscule, the companies may or may not avail this increase. Thus, in the year FY 2024-25, there will be almost no change in the ceiling price of medicines based on WPI.”
The ministry said the WPI increase is the maximum increase permissible as per the DPCO, 2013 and the manufacturers may or may not avail this increase, keeping in view the market dynamics.
“The companies adjust their Maximum Retail Price (MRP) depending upon the ceiling price of their medicines, as MRP (excluding GST) can be any price which is less than the ceiling price. The revised prices will be applicable from 1st April 2024 and the details of the revised prices are available on NPPA’s website www.nppaindia.nic.in,” it said.
In the case of non-scheduled formulation, a manufacturer is at liberty to fix the price. However, no manufacturer of non-scheduled formulation can increase the MRP by more than 10 per cent during the preceding 12 months under Para 20 of DPCO, 2013, it added.