National Pharmaceutical Pricing Authority (NPPA) : Daily Current Affairs

National Pharmaceutical Pricing Authority (NPPA)

Context-

Recently , the Drug price regulator National Pharmaceutical Pricing Authority has fixed the ceiling prices for 12 anti- diabetic generic medicines, which includes glimepiride tablets, glucose injection and intermediate acting insulin solution.

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About National Pharmaceutical Pricing Authority-

  • NPPA was set-up as an independent Regulator on 29th August, 1997 for pricing of drugs and to ensure availability and accessibility of medicines at affordable prices.
  • NPPA is neither a Statutory nor a Constitutional Body.
  • It is an attached office of the Department of Pharmaceuticals (DoP), Ministry of Chemicals & Fertilizers was created vide Government of India Resolution published in the Gazette of India.
  • Functions of NPPA includes:
  1. Fixation and revision of prices of Scheduled drugs under Drug (Price Control) Orders issued from time to time.
  2. Monitoring and enforcement of prices.
  3. Ensuring availability and accessibility of all medicines and medical devices, including non scheduled drugs.
  4. To undertake and/or sponsor relevant studies in respect of pricing of drugs/formulations.
  5. To collect/maintain data on production, exports and imports, market share of individual companies, profitability of companies etc. for bulk drugs and formulations.
  6. To deal with all legal matters arising out of the decisions of the Authority.
  7. To render advice to the Central Government on changes/revisions in the drug policy.

Significance of NPPA-

  • During pandemic time, it played a very crucial role by fixing the prices of the drugs and medical devices making it affordable and accessible to the general public.
  • It makes the supplier of drugs to sell them at MRP rate and not more than MRP rate.
  • Certain medicines and drugs are important and they should be accessible to the public at a cheap rate so, NPPA make sure of that and controls the price to make few important drugs available easily.

Initiatives of NPPA-

  • Price Monitoring and Resource Unit (PMRU) has been set up by NPPA in the various Indian States and Union Territories.
  • PMRU’s have been established under the Consumer Awareness, Publicity and Price Monitoring (CAPPM) scheme.
  • NPPA is pushing towards digital mission by –
  1. Pharma Sahi Daam– Application to check prices of medicines
  2. Pharma Jan Samadhan– Public grievance system to help people resolve their problems.
  3. Pharma Data Bank– Online information collection from Pharma companies.