The department of pharmaceuticals on 16 May 2013 notified the Drug Price Control Order 2013 and with its coming into effect prices of 348 essential medicines including life saving drugs will go down by up to 80 percent.
As per the new Drug Price Control Order 2013, the National Pharmaceutical Pricing Authority (NPPA) 2012 is authorized to regulate the prices of the 348 essential medicines as it is listed in the National List of Essential Medicines (NLEM) 2011.
The government has notified the Drug Prices Control Order (DPCO) 2013, with effect from 15 May 2013 and replaced the 1995 order.
In its previous order prices of 74 bulk drugs were regulated and as per the new order all dosages and strengths specified in the NLEM will be under price control. The ceiling prices of the NELM drugs will also be decided as per the National Pharmaceutical Pricing Policy and the policy states that the ceiling price of an essential drug will be the simple average of all brands with a market share of at least 1 per cent.