Mumbai, August 2: The National Pharmaceutical Pricing Authority (NPPA) has, in the first public notice of its kind, attempted to flex its muscles to ensure strict compliance of its price revision orders by drug firms.The public notice, which makes a specific reference to the NPPA's April 13 price revision order says, "Any information concerning deviation from the notified prices of the products covered by the above notification can be brought to the notice of the Deputy Director (Monitoring), NPPA".
The April 13 notification had revised/fixed the ceiling prices of multivitamin formulations and covered mega brands like Becosules, Zevit, Deyplex, Betonin etc.
The public notice stresses that the Maximum Retail Price (MRP) is fixed at Rs 7.90 and Rs 8.58 respectively for 10 capsules packed in strip/blister packs for each of these products. "These prices are exclusive of excise duty and local taxes. Capsules like Becosules, Sioplex, Genoplex, Betonin, BC-500, Deyplex, Zevit, .... come under the said formulations," it adds.
The NPPA had in a sweeping order, slashed the prices of Pfizer's Becosules by 31.48 per cent while lowering SmithKline Beecham's Zevit's prices by 50 per cent. The Bangalore-based Remidex Pharma, the assignee for Zevit, has since moved court over the price cut, while the Pune-based Omni-Protech Drugs, the assignee of Pfizer's Becosules brand, has sought a review of the NPPA order. The court verdict on the Zevit case could, however, not be ascertained.
Industry experts say that the NPPA's move is contrary to attempts by the government to work alongside industry to check the rigours of price control. "It's a clear attempt to stamp their authority while casting doubts over the industry's integrity. It could also confuse the retail trade and consumers at large," they say.
While the revised prices become effective within 15 days from the date of notification in the official gazette or the receipt of the order by the manufacturer, experts say the public notice could confuse even excise inspectors. "Confused retailers could seek credit notes on existing stock. The notice is bound to add to the woes of the industry, they added.
Industry experts also continue to question the NPPA's suo-moto move given that products of SSI units are to be exempt from price control. Moreover, refixation of the prices of any multivitamin would have, obviously, been based on old data given that vitamin B1, B2 etc are not easily available domestically and are being imported, they added.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.