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The Federation of Pharmaceutical Entrepreneurs (FOPE) has urged the National Pharmaceutical Pricing Authority (NPPA) for reconsideration of ceiling prices allowing 5 decimal points for low priced drugs.
A couple of weeks ago, NPPA revised the ceiling prices for 748 scheduled formulations under the National List of Essential Medicines (NLEM), 2022, and 152 formulations under NLEM, 2015. This adjustment, effective from April 1, 2025, reflected an increase of 1.74% in line with the annual Wholesale Price Index (WPI) change for 2024.
Now the revision for NPPA is a routine exercise under the Drugs Price Control Order (DPCO), 2013, which permits price hikes for scheduled formulations based on the WPI (wholesale price index). This permits manufacturers to increase the Maximum Retail Price (MRP) of these formulations by up to 1.74% without requiring prior government approval.
With reference to the Gazette notifications wherein ceiling prices of Scheduled Formulations were notified giving effect to the WPI of 1.74028%, we would like to draw attention in respect of low priced formulations where there has been no increase in ceiling prices in spite of positive WPI for the last two years, stated Jagdish Kumar, Executive Director, FOPE in a communication to the chairman of NPPA.
A list of such 23 formulations along with their pricing history for the past three years from 2023 to 2025 was also submitted to the NPPA chief along with the communication note. Some of these medicines included Acetylsalicylic acid, Chlorhexidine an antimicrobial agent, Ciprofloxacin, Ibuprofen, Mannitol a direutic, Metronidazole, oral rehydration salts, Pyridoxine, Ferrous Salt (A) + Folic Acid, Haemodialysis fluid Dexamethasone and Salbutamol, among others, he added.
“Though there have been significant cost escalations over the last two years, still the manufacturers of these low priced essential drugs have not at all been benefited. It is very much essential that the manufacturers of these low priced drugs should be passed on some benefit within the framework of DPCO 2013 provisions, in order to ensure continuous availability of these low priced essential formulations,” said Jagdish Kumar in his communication.
We also bring to your kind notice that prior to the year 2019, the NPPA adhered to a policy of employing five decimal points in determining ceiling prices for products. Accordingly, we submit to the NPPA to kindly consider our request and announce revised Ceiling prices with 5 decimal places, said Jagdish Kumar, adding that now FOPE looks forward to a favourable consideration from NPPA on this issue.
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