Centre approves 30 per-cent trade margin cap on non-scheduled cancer drugs

The government has approved a 30 per-cent trade margin cap on non-scheduled anti-cancer drugs, a move expected to reduce prices by up to 70% and save patients an estimated Rs 2,500 crore annually. An expert committee will finalise the medicines covered.

Hyderabad:Prices of 110 non-scheduled anti-cancer drugs could fall following the government’s approval of a 30% cap on trade margins, a move expected to reduce patients’ expenditure on cancer treatment.

The measure is expected to cover some high-cost cancer therapies, including specialised monoclonal antibodies and advanced kinase inhibitors used in precision oncology to treat lung and breast cancers, leukaemia, lymphoma and colorectal cancer.

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The proposed coverage includes around 35 patented formulations and 75 other non-scheduled oncology drugs.

Non-scheduled medicines are not included in the list of drugs subject to government-fixed ceiling prices. An analysis by the National Pharmaceutical Pricing Authority (NPPA) found that non-scheduled anti-cancer medicines carry an average price mark-up of around 170%, with mark-ups reaching 700% or more in some cases.

The Ministry of Chemicals and Fertilisers estimates that the 30% trade margin cap could help cancer patients save around Rs 2,500 crore annually, with medicine prices falling by up to 70%.

The measure is expected to cover branded and generic medicines, domestically manufactured and imported products, and both patented and non-patented drugs.

An expert committee under the Directorate General of Health Services (DGHS) will finalise the list of medicines to be covered, following which the NPPA will issue a formal notification.

To prevent supply shortages, manufacturers of non-scheduled anti-cancer drugs will be required to maintain their current production levels.

Members of the public can call the helpline on 1800-111-255 between 10 am and 6 pm to raise concerns about medicine prices, price caps or overcharging.