Pharma Margins Soar: 1800% Markup on Medicines Exposed

A recent report by a Parliamentary Standing Committee on chemicals and fertilisers has revealed alarming profit margins on commonly used drugs, with some markups reaching an astonishing 1800%. The committee expressed serious concern that the absence of robust government regulatory control over "non-scheduled drugs" facilitates widespread profiteering, making essential medicines increasingly unaffordable.

The panel has strongly recommended that the Department of Pharmaceuticals, in conjunction with the National Pharmaceutical Pricing Authority (NPPA), promptly develop and implement a policy to address this critical loophole. This proposed policy aims to rationalize trade margins across the supply chain, a measure previously applied successfully to regulate prices of anti-cancer drugs and medical devices, resulting in significant patient savings.

The committee emphasized the need for a transparent pricing mechanism, urging the department to establish a real-time data collection system for drug prices from manufacturers, hospitals, and distributors. This initiative seeks to ensure accountability and make drug pricing more accessible to the public, ultimately working towards the goal of affordable medicines for all citizens.