NEW DELHI: The government on Thursday decided to cap trade margins at 30% of the maximum retail price (MRP) for all non-scheduled anti-cancer drugs, according to official sources cited by ANI.The decision will cover branded and generic medicines, as well as domestic and imported drugs, including patented and non-patented medicines. The government said the move is aimed at addressing excessive trade mark-ups and improving the affordability of life-saving cancer medicines while ensuring their continued availability.According to the official sources, the measure could result in up to 70% reduction in the MRP of the affected medicines and is expected to generate estimated annual savings of around Rs 2,500 crore for patients.Under the decision, the trade margin on all non-scheduled anti-cancer medicines will be capped at 30% of their MRP. The measure covers a wide range of medicines, irrespective of whether they are branded or generic, manufactured domestically or imported, or patented or non-patented.The government said the intervention is intended to tackle excessive mark-ups in the distribution and sale of cancer medicines and reduce the financial burden on patients.The move is also expected to lower out-of-pocket expenditure for cancer patients, according to official sources cited by ANI.The government has projected that the intervention could bring down the MRP of affected medicines by up to 70%.
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According to official estimates, the trade-margin cap is expected to result in annual savings of approximately Rs 2,500 crore.The savings are expected to accrue to patients through lower prices for the affected anti-cancer medicines.The government has also framed the measure as part of its broader effort to improve access to affordable medicines while maintaining the availability of essential treatments.The latest decision builds on a similar government intervention introduced in 2019.According to official sources cited by ANI, the 2019 measure resulted in reported annual savings of Rs 984 crore across 526 brands.The government said the latest intervention reinforces its focus on affordable and accessible healthcare, particularly for patients requiring expensive cancer treatment.The latest cap extends the approach to all non-scheduled anti-cancer drugs and covers medicines across different categories, including branded, generic, domestic, imported, patented and non-patented products.
