The Central Government may soon bring in MRP inclusive of all taxes for drugs.
MRP on drugs have been exclusive of taxes in India so far. With consumers and consumer-oriented organisations seeking to make MRP inclusive of taxes, the Government of India is seriously thinking of enforcing MRP inclusive of taxes.
A concrete decision in this regard would be made by January 2006, Satwant Reddy, secretary, Department of Chemicals and Petrochemicals, told Pharmabiz.
Earlier, while addressing the delegates representing India, African, ASEAN, GCC countries at an international pharma and health conference organised by Pharmexcil in Hyderabad, on Thursday, Reddy noted that the Indian pharma industry today ranks fourth in terms of volume of drug production and 13th in terms of value. The disparity in the country's position in volume and value has been the outcome of the constant effort by India to offer quality drugs at affordable prices.
“India is in the process of strengthening its pharma and healthcare industries. The healthcare spending is likely to touch three per cent of GDP in the coming 2-3 years. The new drug policy is being drafted to ensure development in the pharma industry and make available health insurance to poorer sections,” Reddy added.
The Centre is giving due attention to programmes focused on anti-HIV and anti-cancer drugs through public-private partnership model. Interest subsidies have been proposed to fund implementation of GMP to support small-scale sector.
With the new IPR regime in place, the Centre has set up an inter-ministerial committee to look into various aspects such as data protection. The committee is likely to submit its report soon. Due emphasis is also given to boost R & D in pharma industry with various incentives, Reddy informed.