RAJYA SABHA
In the changing economy, revision of prices of
medicines as in other commodities is a normal feature. While the
prices of some medicines increase, some others decrease.
Under the provisions of the Drug (Prices Control)
Order, 1995, the prices of 74 bulk drugs and the formulations
containing any of these drugs are controlled. The Government/NPPA
fixes/revises their prices from time to time as per formula provided
under DPCO. In respect of drugs which are not covered under price
control (non-scheduled formulations), the manufacturers are free
to fix the prices by themselves without seeking approval of Government/NPPA.
Such prices are normally fixed depending on various factors like
the cost of bulk drugs used in the formulations, cost of excipients,
cost of R&D, cost of utilities/packing materials, sales promotion
cost, trade margins and quality assurance cost etc.
The Government/NPPA regularly monitors the movement
of prices of medicines of mass consumption marketed in trade channel
and takes action whenever instances of unreasonable increase in
prices affecting public interest adversely are noticed.
In order to keep a watch on the prices of medicines
marketed in the country, the NPPA regularly analyses the price
trends in the market. An analyses of date (December, 1998 – December
2001) of ORG-MARG, which publishes monthly report of "Retail
Store Audit Market for Pharmaceutical Products in India"
revealed the following position with respect of prices of medicines
having a minimum annual sale value of Rs. 1.00 crore:
(i) There were 2557 such medicines which existed
during 1999 to 2001.
(ii) The prices of 54%, 51% and 49% of the above
medicines have gone up during the years 1999, 2000 and 2001 respectively.
(iii) The prices of 12%, 8% and 9% of the above
medicines have decreased during the same period respectively.
(iv) The prices of 34%, 41% and 42% of the above
medicines have remained same during the same period respectively.
The main objective of this policy is to achieve
an acceptable standard of good health amongst the general population
of the country. The approach would be to increase access to the
decentralised public health system by establishing new infrastructure
in deficient areas and by upgrading the infrastructure in the
existing institutions. Overriding importance would be given to
ensuring a more equitable access to health services across the
social and geographical expanse of the country. Emphasis will
be given to increasing the aggregate public health investment
through a substantially increased contribution by the Central
Government. It is expected that this initiative will strengthen
the capacity of the public health administration at the State
level to render effective service delivery. The contribution of
the private sector in providing health services would be much
enhanced, particularly for the population group which can afford
to pay for services. Primacy will be given to preventive and first-line
curative initiatives at the primary health level through increased
sectoral share of allocation. Emphasis will be laid on rational
use of drugs within the allopathic system. Increased access to
tried and tested system of traditional medicine will be ensured.
Within these broad objectives, NHP-2002 will endeavour to achieve
the time-bound goals for eradication of the following diseases:
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i. Eradicate Polio and Yaw 2005
ii. Eliminate Leprosy 2005
iii. Eliminate Kala Azar 2010
iv. Eliminate Lymphatic Filariasis 2015
v. Achieve Zero level growth of HIV/AIDS 2007
vi. Reduce Mortality by 50% on account of TB,
Malaria and other Vector and Water Borne diseases 2010
vii. Reduce Prevalence of Blindness to 0.5% 2010
viii. Reduce IMR to 30/1000 and MMR to 100/Lakh
2010
In order to ensure availability of drugs at reasonable
prices, the Government has been promulgating Drugs (Prices Control)
Order under the Essential Commodities Act, 1955 from time to time.
Medicines under the Disease Control Programmes are provided free
of cost.
This information was given by the Minister of
State for Health & Family Welfare, Shri A. Raja in a written
reply to a question from Shri Aimaduddin Ahmed Khan (Durru) in
the Lok Sabha today.
