Date:19/12/2006 URL: http://www.thehindu.com/2006/12/19/stories/2006121914330500.htm

Andhra Pradesh - Hyderabad

Call to scrap drug price control order

Staff Reporter

HYDERABAD: The Bulk Drug Manufacturers' Association (India) has urged the Government to do away with the drug price control order (DPCO), saying over the years it has proved to be of no use.

At a press conference on Monday, M. Narayana Reddy, president, said the association had suggested that the Government scrap the DPCO and put in place infrastructure to improve pharmacy education.

Dwelling on drug pricing, he cited examples to illustrate as to how manufacturers sold drugs at prices lesser than those fixed.

He said whenever a drug was commercially viable, it was in manufacturer's interest not to stop production. In fact, he said, many drugs were being sold at much less price than the fixed rate.

He referred to Ciprofloxacin being sold at Rs.1,100-Rs.1,200 a kg in powder form while the DPCO had fixed a price of Rs.4,140. Likewise, Glipizide was offered at between Rs. 9,000 and Rs. 10,000 whereas the DPCO had stipulated Rs. 29,244 a kg.

He said the Government should set up more hospitals, specially in the rural areas.