F.No. 17(33)/200-Div.III/NPPA

Government of India
Ministry of Chemicals & Fertilizers
Department of Chemicals and Petrochemicals
National Pharmaceutical Pricing Authority
Website : www.nppaindia.nic.in

2E/21, Jhandewalan Extn.,
Link Road, New Delhi-110 055
Ph. : 23681986 & 23682150
Fax : 23682146 & 23682142
Dated : 14th August, 2003

PRESS RELEASE

Subject: DPCO 1995 : Compliance of bulk drug/formulation prices by manufacturers consequent to the judgment of Hon’ble Supreme Court of India.

I am directed to say that consequent to the civil appeal nos. 3375-3384/2002 filed by the Ministry of Chemicals and Fertilizers, Govt. of India, the Hon’ble Supreme Court of India has in its judgment of dated 1st August, 2003 set aside the judgment of Mumbai High Court dated 31.8.2001. A copy of summary of the conclusions of the judgment is enclosed (Annexure – I). The following seven drugs and their formulations are, therefore, continued to remain under scheduled category of DPCO, 1995.

The Govt./NPPA had earlier fixed/notified the prices/ceiling prices for the above bulk drugs and their formulations under the provisions of DPCO, 1995. The details are given in Annexure – II. In addition, non-ceiling prices were also fixed to individual manufacturers from time to time.

In view of the above, every manufacturer of the above mentioned bulk drug(s) and/or its formulation(s) is required to comply with the Govt./NPPA fixed/notified prices. The manufacturers are therefore advised to suitably revise the bulk drug / formulation prices and submit copies of supplementary price lists to NPPA / State Drugs Controllers and Dealers as required under para 14(3) of DPCO, 1995. Wherever necessary the manufacturers are also advised to seek price fixation from the Govt./NPPA for the concerned bulk drugs/formulations by submitting applications in Form I / Form III of DPCO 1995. It may be stated that in case of violation, the company would be liable to deposit the overcharged amount to the Govt. under para 13 and also liable for prosecution under para 24 of DPCO, 1995 issued under Essential commodities Act, 1955

Yours faithfully,

(Dr. P.V. APPAJI)
Director