US Voices Concerns on India's Healthcare Drug Price Controls
US Concerns Over India's Drug Price Controls
The US government has issued a report highlighting its worries about India's drug price controls, particularly concerning medical devices like coronary stents and knee implants. The national pharmaceutical pricing authority (NPPA) in India sets essential medicine prices without adequately considering inflation and technological innovations.
Impact of Price Controls
Since November 2022, stents were included in the national list of essential medicines (NLEM), where their pricing hinges on the wholesale price index (WPI). Despite marginal price hikes, industry experts argue consumers haven't benefitted significantly. According to Pavan Choudary, chairman of the Medical Technology Association of India (MtaI), hospitals often inflate costs elsewhere due to these price caps.
Price Control Mechanisms
- Coronary stents: Prices capped, with a minimal increase of 1.74% as of April 1.
- Knee implants: Under price controls since 2017; a crucial reduction of 50-70% initially.
Recent regulations have allowed for brief exceptions in pricing that do not encompass comprehensive annual adjustments.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.