New Delhi. The All India Organisation of Chemists & Druggists (AIOCD) has welcomed the Government of India’s decision to rationalise trade margins on non-scheduled anti-cancer medicines, calling it an important step towards making life-saving medicines more affordable and accessible to patients.
The Government has decided to cap trade margins at 30% of MRP for non-scheduled anti-cancer medicines, a move expected to bring down the prices of several high-cost medicines.
AIOCD has been consistently raising the issue of rational and transparent MRP fixation with the Government, Department of Pharmaceuticals, NPPA and other concerned authorities. The organisation has long advocated that excessive gaps between PTR and MRP should be addressed through a clearly defined and uniform pricing mechanism.
AIOCD’s 42% Criterion
AIOCD’s principle was adopted by the Government in 2019 for 42 non-scheduled anti-cancer medicines, resulting in substantial reductions in the MRPs of hundreds of brands. Government data indicated that the MRPs of 526 brands were reduced by an average of around 50%.
AIOCD President J. S. Shinde and General Secretary Rajiv Singhal said:
“Rationalisation of cancer medicine prices is an important step in the larger interest of patients. AIOCD has repeatedly submitted memoranda and representations seeking a transparent mechanism for MRP fixation and implementation of the 42% criterion over PTR wherever appropriate.”
They further emphasised that MRP is determined and printed by the pharmaceutical manufacturer, and therefore any excessive mark-up must be addressed at the source. Genuine chemists and distributors should not be held responsible for an MRP determined upstream in the supply chain.
Towards Affordable and Transparent Medicine Pricing
AIOCD urged the Government to extend the same scientific, transparent and uniform approach to other essential and high-cost medicines wherever disproportionate MRP is found.
The organisation reiterated that a balanced pricing policy should simultaneously ensure:
- Affordable medicines for patients;
- Rational and transparent MRP fixation;
- Reasonable and sustainable trade margins;
- Uninterrupted availability of medicines; and
- Fairness across the pharmaceutical supply chain.
AIOCD expressed the hope that the present initiative will pave the way for a comprehensive national policy on rational MRP fixation, in the larger interest of patients and the general public.
For All India Organisation of Chemists & Druggists (AIOCD)
J. S. Shinde
President
Rajiv Singhal
General Secretary