Govt expands Committee for Drug & Medical Device Pricing

The committee now boasts a diverse group of 19 special invitees representing key stakeholders across the healthcare spectrum

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Govt of India
Govt of India

Last Updated on July 6, 2024 by The Health Master

Committee

The Indian Department of Pharmaceuticals (DoP) has taken a significant step towards reforming the drug and medical device pricing framework by expanding its committee yet again.

This move underscores the government’s commitment to achieving a balance between affordability, accessibility, and industry growth.

Expanding Representation for Stakeholders

Previously focused on government officials, the committee now boasts a diverse group of 19 special invitees representing key stakeholders across the healthcare spectrum.


Related article: Govt Includes More Special Invitees Into Committee For Pricing Framework


This includes:

  • Patient Advocacy Groups: All India Drug Action Network (AIDAN), Healthcare Foundation of India (NAT Health), Patient Safety and Access Initiative of India Foundation, and Medecines Sans Frontieres (MSF) India.
  • Doctor’s Association: Indian Medical Association (IMA)
  • Pharmacy Industry: All Indian Organisation of Chemists and Druggists Association (AIOCD)
  • Manufacturing: Laghu Udhyog Bharti (representing small-scale industries)

This broadened representation ensures a more comprehensive understanding of the challenges and opportunities within the drug and medical device pricing landscape.

Committee’s Core Objectives

The committee, led by DoP Secretary Arunish Chawla, aims to achieve the following:

  • Institutional Reforms for NPPA: Enhance the National Pharmaceutical Pricing Authority’s (NPPA) effectiveness in regulating drug prices.
  • Balancing Affordability and Industry Growth: Ensure essential medicines remain affordable while providing incentives for pharmaceutical companies to invest in research and development, ultimately fostering industry growth and exports.
  • Price Moderation for Medical Devices: Develop a framework for regulating medical device prices that balances affordability with encouraging domestic innovation and reducing import dependence.
  • Accessibility of New Therapies: Design a system that allows for the timely availability of emerging and precision therapies for patients who need them the most.

The committee’s expected outcome is a draft Drugs and Medical Devices (Control) Order, replacing the existing Drugs (Prices Control) Order, 2013.

Historical Context of Drug Price Regulation in India

The inclusion of diverse stakeholders reflects a shift in the government’s approach to drug price control.

Here’s a brief historical perspective:

  • 1962: Price controls were first introduced due to a surge in medication prices during the Indo-China war.
  • 1984: The Kelkar Committee recommended excluding certain drugs from price control and liberalizing profitability curbs.
  • 1999 & 2004: The PRDC, DPCRC, Pronab Sen Committee, and Sandhu Committee provided further recommendations on price control policies.
  • 2012: The National Pharmaceutical Pricing Policy (NPPP) shifted the focus from cost-based to market-based pricing.
  • 2013: The Drugs (Prices Control) Order, 2013, was implemented based on the NPPP.

The DoP’s current initiative demonstrates a continued effort to refine the drug and medical device pricing framework in India, aiming to achieve a sustainable and equitable healthcare ecosystem.

Disclaimer: This article contains information derived from the source mentioned below. Our team utilized an AI language model to rewrite and present the news or article in a unique format.

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