F.No. 8(9)/2005-DP/NPPA-Div.-II

National Pharmaceutical Pricing Authority
Ministry of Chemicals & Fertilizers
Government of India

5th Floor, YMCA Cultural Center Building,
1, Jai Singh Road, New Delhi-110 001
Dated : 19th September, 2005

Explanatory Note

The National Pharmaceutical Pricing Authority has fixed / revised the prices in respect of 308 formulation packs vide notifications / orders dated 16.09.05. Of these, Ceiling Prices in respect of 238 formulation packs have been fixed under DPCO, 1995. The prices of 70 non-ceiling packs which includes 31 imported insulin formulations have also been fixed by the NPPA. These decision were taken by the Authority in its meeting on 1st September 2005.

The above price fixation / revision cases also covered derivative formulation packs based on the bulk drugs Chloroquine Phosphate, Norfloxacin, Ranitidine, Naproxen, Erythromycin Base, Erythromycin Stereate, Erythromycin Ethyl Succinate, Vitamin E, Vitamin C, Combination of Vitamin E & C, Detropropoxyphene Hydrochloride and Cefadroxyl Monohydrate for which prices have been fixed / revised downwards on suo-motu basis, considering reduced notified prices of the bulk drugs. It also included 81 cases of Betamethasone Dipropionate and certain others formulations, formulated namely by M/s. Cipla, Sun Pharma, Wockhardt, Alkem and USV fixed after receipt of complaints and on the bases of available information.

Apart from the cases of price fixation / revision, NPPA has also fixed packing material cost norms in respect of metered dose inhalers under para 7 of DPCO, 1995.

The prices have been fixed / revised in accordance with the provisions of the Drugs (Prices Control) Order (DPCO), 1995 and as per the established criteria and guidelines. A copy of the statement showing the notified prices alongwith the copies of Gazette notifications issued by NPPA in respect of above ceiling price packs is enclosed herewith.

The prices fixed / revised would become effective within 15 days from the date of notification in the official gazette or receipt of the Non-ceiling, price (NCP) Order of the NPPA in this behalf, as per Para 14(1) of DPCO, 1995. Necessary revised price list is to be issued by the manufacturers / importers as required under sub-paragraph (3) of paragraph 14 of the DPCO, 1995. Accordingly, as per the provision, the revised price list in Form-V of the DPCO is to be furnished by the concerned manufacturer(s) to the Government and NPPA, State Drug Control Authorities and distributors, wholesalers and retailers or any other agent.

The manufacturers are also required to work out the pro-rata prices of different pack size as the case may be in terms of S.O. No. 83 (E) dated 27.01.98. Gazette notifications regarding the price fixations are being issued separately.

With this meeting, the NPPA has fixed / revised the prices of 720 formulations in calander year 2005 which is a record.

Dy. Director