The Union government has brought 137 cancer medicines under its direct price-control framework, capping the trade profit margin at 30% to ensure these drugs are available at lower prices.
With cancer cases rising, the cost of medicines has become a major financial burden for patients and families. The government said it has been taking steps to reduce prices and improve access to quality treatment.
India regulates prices of essential medicines through the National List of Essential Medicines (NLEM), with the National Pharmaceutical Pricing Authority (NPPA) enforcing price controls. The government also moves to curb prices of certain medicines even when they are not directly listed under the NLEM.
A health ministry expert group found that some manufacturers of cancer drugs were selling medicines with profits ranging from two to seven times. To address this, medicines including nivolumab, olaparib and denosumab have been added to the price-control list, and the margin has been reduced to 30%.
The revised pricing will take effect from November 9. Companies have been directed to publish updated price lists on their websites within seven days and share them with hospitals and pharmacies. State drug control authorities have been asked to closely monitor sales, ensure uninterrupted production, and recover any overcharging with interest. The government cited a similar 2019 move covering 42 cancer drugs that saved patients Rs 984 crore annually, and estimated the current step could save about Rs 2,500 crore a year.
