The National Pharmaceutical Pricing Authority (NPPA) which revised/fixed prices of 154 formulation packs recently, has clarified that it had not increased the price of any insulin formulation as reported in a section of the media.
“NPPA has not increased the price of any insulin formulation. It is pertinent to state that the major manufacturers/importers of diabetic drug insulin, such as Eli Lilly, Cadila, Lupin and Biocon etc applied for upward revision in the retail price of insulin. However, keeping the interest of large number of consumers, the prices of insulin formulations have been maintained at the existing level by suitably adjusting the profit margin in order to ensure the abundant availability of insulin formulations at reasonable prices,” said a release by the NPPA.
The NPPA fixed/revised the prices of 154 drug formulation packs as on 19th July, 2012. Of these, Ceiling Prices have been fixed in respect of 138 drug formulation packs, which are applicable to all manufacturers. Company specific non-ceiling prices have been fixed in case of 16 packs of drug formulation, said the release.
The prices have been fixed for the first time in respect of 33 drug formulation packs. No price increases have been allowed in respect of 17 packs keeping the consumer interest in view. In the case of 80 packs, the prices have been reduced from the existing level ranging from 0.12 per cent to 37.76 per cent. In the case of 24 packs, prices have been increased ranging from 0.64 per cent to 31.40 per cent to accommodate the unavoidable increase in input Raw material cost, Conversion cost, Packing Charges and Packing Material Norms in order to make availability of the essential drugs to the consumers. In absolute term the price reduction ranges from Rs.0.04 to Rs.3.52 per pack, it said.
“The drug formulation containing the vitamin C & its derivatives have been revised on Suo-moto basis to pass on the benefit of reduction in bulk drug prices to consumers as manufacturers failed to send price revision application to NPPA within the stipulated time limit of 30 days as per DPCO, 1995. In these cases the prices have been reduced ranging from 0.12 per cent to 37.76 per cent than the existing price resulting lower price for vitamin C formulations which will benefit the consumers at a large,” the release said.
The revised prices have been fixed strictly per the provisions of the Drugs (Prices Control) Order (DPCO), 1995 and the guidelines in this regard. The revised price lists are to be issued by the manufacturers/importers under sub paragraph (3) of paragraph 14 of the DPCO, 1995 and the compliance should be reported to the government/NPPA, State Drug Control Authorities and distributors, wholesalers and retailers or any other agent, according to the NPPA.
“The prices were fixed in respect of derivative formulations of the bulk drugs namely, aspirin with rosuvastatin (cardiovascular), cefotaxime (antibacterial), chlorpromazine with combination (antipsychotic), vitamine E (tocopheryl) (vitamin E supplement), streptomycin with penicillin (antibiotic), norfloxacin (antibacterial), vitamin C with combination (vitamin C supplement and antioxidant), sulphadoxine with combination (antimalarial), dexamethasone with combination (anti-inflamatory), multivitamin with vitamin C (vitamin supplement) and insulin formulations etc,” the release added.