This document outlines an order by the Ministry of Chemicals and Fertilizers in India to control drug prices. Some key points:
- It establishes ceiling prices for scheduled drug formulations based on average retailer prices and a 16% retailer margin. Ceiling prices will also apply to imported drugs.
- Retail prices for new drugs by existing manufacturers will also be based on average retailer prices and a 16% margin. The government will set prices for new drugs not currently available based on pharmacoeconomic principles.
- Manufacturers must fix maximum retail prices no higher than the ceiling/retail price plus applicable local taxes.
- Initial market data will come from IMS Health but the government may develop