Concerned over the plight of small scale industry over the new drug pricing policy which came into effect recently, representatives of the small scale industry wants National Pharmaceuticals Pricing Authority (NPPA) to extend the one month extension granted to some companies for adopting the new ceiling prices across industry to ensure equal market opportunity for all the stakeholders.

This demand comes in the wake of recent decision taken by the NPPA to grant one month extension to Cipla, Sun pharma and Alkem to adopt new ceiling prices following the High Court order. The industry claimed that if the high court could find a valid point to pass such an order demanding extension for those companies who approached the court, it means that there is a genuine issue that needs to be addressed by the NPPA.

In a recent order, the Delhi High Court asked the government not to take any punitive action against Cipla and Sun Pharma on the NPPA's mandate to replace the old stocks of the first set of 151 essential drugs, in the market with those carrying reduced MRP within 45 days of the new price notification, till the next hearing scheduled for August 27.

According to Goa Pharmaceutical Manufacturers' Association (GPMA) it is high time NPPA understood the plight of the industry in light of the recent events and act judiciously, especially since the small scale units have hardly any option but to face the brunt of this unjust order. A K Burman, president GPMA said, “The NPPA notification stipulating 45 days time frame for all the companies to recall all the stocks from the market and print the new prices is not practical and we are already having problems forcing many companies to approach the court. However, unlike big pharma companies, who have strong financial strength to resort to legal options, the small scale companies neither have the reach nor the resource to fight the government through court.”

He further said that the government had been very rash in taking decision regarding this matter, which is affecting the industry at large and suggested that the only way by which the small scale industry would get some reprieve is by getting an extension on the time line. The new drug pricing policy which was notified by the government recently, got implemented for the first batch of 151 drugs, at the expiry of the 45 days time which ended on July 29.