The just-notified new drug price control policy will negatively impact sales and margins of pharmaceutical firms in India, according to industry players.
The department of pharmaceuticals had notified the Drugs (prices control) Order 2013 on Wednesday under which prices of 348 medicines in the National List of Essential Medicines have been brought under price control, thus replacing an earlier order of 1995 that regulated prices of only 74 bulk drugs.
According to IMS Health, a provider of information, services and technology for the healthcare industry around the world, the DPCO 2013 will lead to the value erosion of the Indian pharmaceuticals market.
With the notification, the National Pharmaceutical Pricing Policy (NPPP) 2012 comes into effect and all drugs under NLEM, which account for 60 per cent of total domestic pharma market amounting to nearly Rs 29,000 crore, would come under price control.
No comments:
Post a Comment