The Indian government has approved a 30% cap on trade margins for non-scheduled anti-cancer drugs.
The price intervention is expected to reduce prices of key cancer medications by up to 70%, yielding estimated annual savings of Rs 2,500 crore for patients nationwide.
Market analysis by the National Pharmaceutical Pricing Authority (NPPA) revealed that non-scheduled anti-cancer drugs carried average mark-ups of 170%, reaching up to 700% across various retail, hospital, and online supply chains.
While scheduled essential medicines already operate under ceiling prices, this new decision extends price protection to non-scheduled drugs added before reaching consumers.
An expert committee under the Directorate General of Health Services (DGHS) will finalise the list of covered medications, after which the NPPA will issue formal notifications. The regulation spans branded, generic, domestic, imported, patented, and non-patented formulations.
Building on a similar 2019 initiative that capped margins on 42 anti-cancer drugs and saved patients Rs 984 crore annually, this expanded mandate addresses widespread concerns over excessive profiteering.
To prevent supply chain disruptions, manufacturers will be required to maintain current production levels, ensuring life-saving treatments remain continuously accessible to patients.
