National Pharmaceutical Pricing Authority (NPPA)
Context-
Recently , the Drug price regulator National Pharmaceutical Pricing Authority has fixed the ceiling prices for 12 anti- diabetic generic medicines, which includes glimepiride tablets, glucose injection and intermediate acting insulin solution.
About National Pharmaceutical Pricing Authority-
- NPPA was set-up as an independent Regulator on 29th August, 1997 for pricing of drugs and to ensure availability and accessibility of medicines at affordable prices.
- NPPA is neither a Statutory nor a Constitutional Body.
- It is an attached office of the Department of Pharmaceuticals (DoP), Ministry of Chemicals & Fertilizers was created vide Government of India Resolution published in the Gazette of India.
- Functions of NPPA includes:
- Fixation and revision of prices of Scheduled drugs under Drug (Price Control) Orders issued from time to time.
- Monitoring and enforcement of prices.
- Ensuring availability and accessibility of all medicines and medical devices, including non scheduled drugs.
- To undertake and/or sponsor relevant studies in respect of pricing of drugs/formulations.
- To collect/maintain data on production, exports and imports, market share of individual companies, profitability of companies etc. for bulk drugs and formulations.
- To deal with all legal matters arising out of the decisions of the Authority.
- To render advice to the Central Government on changes/revisions in the drug policy.
Significance of NPPA-
- During pandemic time, it played a very crucial role by fixing the prices of the drugs and medical devices making it affordable and accessible to the general public.
- It makes the supplier of drugs to sell them at MRP rate and not more than MRP rate.
- Certain medicines and drugs are important and they should be accessible to the public at a cheap rate so, NPPA make sure of that and controls the price to make few important drugs available easily.
Initiatives of NPPA-
- Price Monitoring and Resource Unit (PMRU) has been set up by NPPA in the various Indian States and Union Territories.
- PMRU’s have been established under the Consumer Awareness, Publicity and Price Monitoring (CAPPM) scheme.
- NPPA is pushing towards digital mission by –
- Pharma Sahi Daam– Application to check prices of medicines
- Pharma Jan Samadhan– Public grievance system to help people resolve their problems.
- Pharma Data Bank– Online information collection from Pharma companies.