Pharmaceutical companies will get thirty days more to adopt new prices for essential drugs, according to a statement from the Department of Pharmaceuticals.
Under the recently formulated drug pricing policy, about 348 drugs in the National List of Essential Medicines come under price control. One drug formulation will have the same price (average price) across brands.
This is expected to bring down the cost of essential medicines.
Following the latest notification, pharma companies will get an additional 30 days from the date of notification to re-label their medicines with the new prices.
“The extension of exemption shall be applicable only for the purpose of exemption from the provisions of Central Excise Act regarding whole of the duty of excise levyable in case of re-printing, re-labelling, re-packing or stickering, in a premises which is not registered under the Central Excise Act, 1944 or the rules made thereunder,” the statement said.
Challenge
Last month, a few drug majors had challenged the 45-day period granted to them for replacing existing stock with re-labelled stock. The National Pharmaceutical Pricing Authority had started notifying the new prices of essential medicines, as per the new policy, from mid-June.