F.No. 8(31)/2001-DP/NPPA-Div.-II

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

2E/21, Jhandewalan Extn.,
New Delhi-110 055

Dated : 3rd August, 2000

Explanatory Note

The National Pharmaceutical Pricing Authority has revised/ fixed the prices of 45 formulation packs on January 17, 2001. The prices have been fixed for the first time in the case of 4 formulation packs. There has been no change in price in the case of one pack. In the case of 28 packs the prices have been increased ranging from 0.96% to 19.72%. In the case of 12 packs the prices have been revised downwards from their existing levels and decrease ranges from 17.24% to 85.44%.

Of the 45 formulation packs, ceiling prices (exclusive of excise duty and local taxes etc.) have been fixed/revised in respect of 16 packs. The non-ceiling prices (inclusive of excise duty but exclusive of local taxes etc.) have been fixed/revised in respect of the remaining 29 packs. The prices have been fixed/revised in accordance with the provisions of the Drugs Price Control Order (DPCO), 1995 and as per the established criteria and guidelines. A copy of the statement showing the existing (where available) and revised prices is enclosed herewith.

The formulations for which prices have been revised/fixed are based on different type of insulins used in the treatment of diabetes, different type of broad spectrum antibiotics, Trimethoprim+Sulphamethoxozole Suspension used in bacterial infections, Levodopa in combination with benzerazide used in the treatment of Parkinson’s disease, Vitamins used as food suppliments, Salzosulphapyridine used for intestinal infections, Prednisolone used for treating allergy, Famotidine used for treating ulcers, and Pseudophedrine in combination with different non-scheduled bulk drugs used for the treatment of asthma/respiratory tract infections. The revision in prices has occurred due to changes in the bulk drug prices, exchange rate, etc.

The prices fixed/revised would become effective within 15 days from the date of notification in the official gazette or the receipt of the 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 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/importer/distributor 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 sizes as the case may be in terms of S.O. No. 83 (E) dated 27.01.98.

The revised notified price shall become effective within 15 days from the date of notification in the Official Gazette. All the manufacturers of the formulations utilising this drug in their scheduled formulations are advised to follow the provisions of DPCO, 1995 with regard to pricing of the derivative formulations.

(L. M. Kaushal)
Dy. Director