Highlights
The Government of India recently constituted a standing committee to supervise the drug pricing regime, headed by Niti Aayog Health activists feel the committee has been vested with sweeping powers to supervise the pricing regime, at the cost of undermining NPPA, and this may have effects on affordability of drugs
The Government of India constituted a standing committee to oversee the drug pricing regime. The committee is headed by Niti Aayog. This is a move which could reduce the powers of drug pricing regulator, National Pharmaceutical Pricing Authority (NPPA).
Constitution of the committee: The Standing Committee on Affordable Medicines and Health Products will be headed by NITI Aayog member (health), and includes chief economic adviser, besides secretary department of health research, director general of health services, vice-chairperson, National List of Essential Medicines (NLEM) and joint secretary department of industrial policy and promotion.
The notification issued recently says the committee will be "a recommending body to NPPA, regarding prices of drugs and health products'', and may examine issues suo-moto or on recommendation of department of pharma, NPPA and department of health. The development comes in the backdrop of recent run-ins between the health and pharma ministries over regulating prices, but now the power centre could be shifting to the policy think-tank.
Sources said the proposal has been in the works for nearly a year, and was first discussed in April between Niti Aayog and PMO, with the objective of amending the Drug Price Control Order, 2013.
Health activists feel the committee has been vested with sweeping powers to oversee the pricing regime, at the cost of undermining NPPA, and this may have repercussions on affordability of drugs.
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