The pharmaceutical industry associations, Indian Drug Manufacturers Association (IDMA), Organization of Pharmaceutical Producers of India (OPPI) and the Bulk Drug Manufacturers Association (BDMA) are all set to contest the National Pharmaceutical Pricing Authority (NPPA) directive asking manufacturers to implement the revised prices in respect of bulk drugs and formulations within 15 days of the notification.

The NPPA, following the Karnataka High Court judgment on a petition filed by SmithKline Beecham Pharmaceuticals questioning the DPCO provision, has directed the drug manufacturers on January 21, 2003 that they should implement the price revision within 15 days of the notification and ensure that the stocks in trade are sold after the stipulated period only at the prices fixed by the Authority.

While commenting on the action plan of the IDMA in this regard, the sources said that this has been a matter that the industry is too much concerned ever since the DPCO 1995 was released. IDMA had already asked the NPPA to make the period at least 45 days after the notification as recalling the products from the market for reprinting the new price is not practical within the stipulated period of 15 days. "Now it is necessary to talk to the Authority once again to make them understand the position of the manufacturers and to find out a solution immediately as it is impossible for the industry to follow this directive," he added.

Sources from OPPI said that the Organisation is waiting for the copy of the HC judgment to reach them to study it thoroughly for correlating it with the earlier government clarification on the DPCO stand on this. The OPPI sources confirmed that there was a clarification made by the union government after the DPCO 1995 directive in this regard was taken up by the ministry of Chemicals and Fertilisers to the Law Ministry five years ago. This government clarification, according to OPPI, had stated that the price revision can be made effective from the next batch of production onwards after the notification.

"It is not practical to roll back the price of products, which is already in the market and reintroduce them with revised prices. All members of the associations are against such a directive and would appeal against it," said a spokesman from Glaxo SmithKline India.