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KSRPA urges govt to bring generic drugs under price control in new policy
Nandita Vijay, Bangalore | Thursday, December 8, 2011, 08:00 Hrs  [IST]

Karnataka State Registered Pharmacists Association (KSRPA) has now brought to the notice of the Union government about the practice of charging exorbitant prices for non-scheduled generic drugs by pharmaceutical manufacturers.

In a communiqué to the Prime Minister’s office and Ministries of Health & Family Welfare (MoHFW), chemicals and fertilizers, commerce and industry and law and justice, the association has pointed out that the unethical practice has been going on for several years in violation of the DPCO 1995.

“Para 9 of the DPCO calls for the control of MRP of scheduled drugs, by way of ‘ceiling price’ and the generic drugs do not fall under the category. The drug manufacturers have now taken the opportunity to price it high with an inflated MRP displayed on the label. It is high time for the government to intervene and take cognizance of the fact and strike a balance between supply of such drugs and the healthcare costs,” said Ashokswamy Heroor, president, Koppal district Chemists and Druggists Association and Indian Pharmaceutical Association (IPA), Gangavati, Karnataka and vice president, Federation of Chemists & Druggists of Karnataka.

Some of these drugs are Nimesulide generic tablet costing 9 paisa each is sold at Rs.3.50 per tablet, cetrizine generic priced at 24 paisa is sold at Rs.3.10 each, nimesulide plus paracetamol tablet which costs 36 paisa each, is sold at Rs.3. Value Added Tax (VAT) is paid at the manufacturers point on the real cost and recovered on the ‘blown-up’ cost, thus cheating the government and the patients eventually, he added.

The MRP is printed according to the whims and fancies of the drug manufacturers and this results in selling at a price on par with that of the price controlled branded counterparts. “The retailers also manipulate the situation and sell the drugs at inflated MRP. We view this modus operandi as a sheer robbery without transgressing any law, leaving a poor patient looted when he is going to purchase the medicines,” pointed out Heroor in his communication to government authorities.

Although efforts were made by several former Drug Controller General of India (DCGIs) to collect the information of may such generic drugs nothing seems to have materialized, said Heroor.

“Provisions may be made in the DPCO, to sell the generics at a MRP. The definition of scheduled formulations for the purpose of para 8 may be included on the lines of the definition given under Para 9 explanation. Further, one paragraph exclusively to fix the MRP of generic drugs may be introduced in the DPCO,” stated Heroor in his communiqué.

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