Kerala govt to insist new form from cos to stop illegal trade practices of AKCDA
In a move to curb the alleged illegal trade practices of the chemists and druggists association in the state, the government of Kerala is planning to introduce a procedure to monitor fair entry of new drug products into the state market. An order in this regard would be issued by the state drug control authority soon, according to a top drug control official.
As per the plan, the pharmaceutical companies should submit a form consisting of details of any new product with the state Drug Control Authority (DCA) before launching the product in the state. The companies should submit documents on approval from the concerned state authority, Form-5 approval as per the price list under Drug Price Control Organisation (DPCO), list of similar products in the market and their price details and records of new drug approval from Drug Controller General of India (DCGI) prior to marketing the product.
The DCA has already initiated steps to implement the decision and will discuss the details in the departmental meeting of state drug control officials on December 10, according to informed sources. An order insisting compulsory submission of the data is expected to come up soon.
Soon after the meeting of the state drug control officials, the authority will summon concerned officials from all the pharmaceutical companies marketing their products in the state, at Kochi, to insist submission of details for the new products by December 2007 itself.
The state government's move comes as a result of the raid conducted by DCA officials in the headquarters of All Kerala Chemists and Druggists Association (AKCDA), the single drug traders' organisation in the state. The authority seized several documents relating to the money collected from the pharma companies in the name of product information certificate, which is found to be illegal.
With the introduction of the new form, the DCA would also take action on the petition from any associations or companies against the demands of AKCDA on any type of compulsory fees. The authority will also initiate a market surveillance to find the details of products which are already distributed through AKCDA members for further action, added sources.
The officials also informed that the government would take strict action against pharmaceutical companies or distributors who are reluctant to supply drugs to the state subsidised drug shops - Maveli and Neethi stores. The AKCDA's reluctance to supply drugs to the state government driven drug retail shops, Maveli and Neethi stores, has already created a turf between the association and the government. With the raid, the government is planning strict action including forming legislation to control the drug trade sector including the wholesale and retail sector.