In a move to ensure the availability of essential medicines, including medicines that can save lives, the price of medicines authority has come up with new guidelines that prohibit drug makers from sudden interruption of such drugs to circumvent price control regulations.
The National Authority pharmaceutical prices has developed a detailed set of categorization rules commonly used drugs based on their sales. It is intended to ensure that even if a manufacturer wants to interrupt any essential drug production, the drug remains in the supply to consumers to find an alternative.
For example, the guidelines say if a drug has a market share of more than 10% and less than 20% and its manufacturer wants to stop selling it in India, the regulator will allow the gradual disruption, but the company They will have to continue selling the drug for at least nine months and not cut production by more than 40%.
for the most commonly used drugs, NPPA has asked companies to continue selling these drugs for at least one year. In the case of drugs with more than 50% market share, the regulator will examine on a case by case basis and decide on merit.
“NPPA will also explore the possibility of alternative arrangements to complement production likely gap is caused by such withdrawal by referring the matter to the director of photography (Department of Pharmacy) to request the power supplies of the government to produce these drugs, “said the guidelines.
regulator has also asked companies to follow the price cap imposed on essential drugs so far that a complete interruption and commercially available alternative is allowed.
guidelines follow reports of disruption of many essential drugs after severe government measures to keep prices down. While pricing policy does not allow pharmaceutical companies to discontinue production of medications six months notice, companies often report to the government and then raise prices. The regulator said that in such cases will be fined companies for overcharges.
However, the guidelines also have a provision that allows companies a rise in prices after a detailed investigation if that is the reason for the suspension.
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