Not so satisfied with the outcome of the purchase preference policy by government agencies and departments for obtaining drugs from the pharma central public sector undertakings (CPSUs) so far, the Pharmaceutical Department is trying to press for strict implantation of the same and is approaching the health ministry for this purpose.

Though the purchase preference policy in respect of exclusive purchase of 102 medicines from CPSUs was introduced a few years back, it was not fully implemented, the DoP has assessed. Hence, the DoP is planning to seek the support of other concerned departments and the ministries, mainly the health ministry, to effectively implement the scheme, sources said.

“The Government instructions with regard to purchase of 102 medicines from pharma CPSUs are mandatory and binding on all Central Government Departments. The Department of Pharmaceuticals keeps on reminding the Ministry of Health and Family Welfare to ensure compliance of the aforesaid decision of the Government. But not much impact could be made so far,” sources said.

A meeting at the level of joint secretary in the DoP was held some time back in this regard. Pharmaceutical secretary is now planning to take up the issue with the senior officials of the Health Ministry shortly to ensure the implementation of the policy and so that the revenue of the struggling CPSUs could be lifted. The DoP will also make similar efforts with the State Governments to implement this policy, sources indicated.

After the scheme was introduced in 2006, it made some good impact during the year of 2007-08, but later did not go so well. It was estimated that the PSUs in pharma sector received orders worth Rs. 250 crore during the year, but it went down since then, sources said, adding that the exact amount for the following years was not available.

The Central government departments reportedly buy drugs worth Rs. 2000 crore a year while the orders by State government are worth another Rs. 1500 crore for various healthcare programmes. However, the chemical department sources said they were looking for a realistic figure of Rs. 300 crore a year to add to the growth of PSUS.