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Govt Readies for Automated Pricing System of Medicines
1 min 58 sec to read
April 4 : A taskforce is on-the-go to settle dispute between government and drug manufacturers regarding the maximum retail price (MRP) of medicines. The taskforce led by Health Secretary Santa Bahadur Shrestha will initiate talks with stakeholders for the new pricing of the medicines. Assistant secretaries of Ministries of Finance, Home and Industry as well as Director General of Department of Drug Administration (DDA), representatives of Association of Pharmaceutical Producers of Nepal (APPON) and Nepal Chemist and Druggist Association (NCDA) are also a part of the taskforce.
“The taskforce will discuss on implementing automated pricing system of medicines,” says Bal Krishna Khakurel, Director General of DDA, adding, “Nothing can be said right away but the automated pricing mechanism could be the subject of discussion for new pricing system of medicines.” He also informs that new pricing of system will be finalized by mid-June.
The government and pharmaceutical manufacturers are disputing on implementing MRPs of medicines. The cabinet on July 6 approved MRPs of 96 medicines. But drug manufacturers have rejected the government fixed rates claiming the prices to be unreasonable in the present context.
District Administration Office (DAO) of Kathmandu on March 4 arrested prominent pharmaceutical makers on charge of selling medicines at prices higher than the government-set rates. Later, they were freed after intense pressure from the private sector. The dispute still persists between the government and medicine manufacturers regarding the issue.
“The state has adopted free-economic policies in constitution itself, thus the government cannot pressurise drug manufacturers to sell medicine in fixed MRPs,” says Pashupati Murarka, President of Federation of Nepaleses Chambers of Commerce and Industry (FNCCI). “Drug manufacturers should be authorised to price their products so that they can compete in the international market following the market trends.” He said that with the rising value of US dollar, price of raw materials have also increased. “But the government is not considering these facts,” he argues.
“Scientific pricing mechanism of medicine is necessary,” says Shankar Ghimire, President of APPON. According to him, the price of raw materials increases with the rise in the value of US dollar. “Given the circumstances we face, policy should be implemented for automated pricing system,” he adds.
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<p>District Administration Office (DAO) of Kathmandu on March 4 arrested prominent pharmaceutical makers on charge of selling medicines at prices higher than the government-set rates. Later, they were freed after intense pressure from the private sector. The dispute still persists between the government and medicine manufacturers regarding the issue.</p>
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<p>The government and pharmaceutical manufacturers are disputing on implementing MRPs of medicines. The cabinet on July 6 approved MRPs of 96 medicines. But drug manufacturers have rejected the government fixed rates claiming the prices to be unreasonable in the present context. </p>
<p>District Administration Office (DAO) of Kathmandu on March 4 arrested prominent pharmaceutical makers on charge of selling medicines at prices higher than the government-set rates. Later, they were freed after intense pressure from the private sector. The dispute still persists between the government and medicine manufacturers regarding the issue.</p>
<p>“The state has adopted free-economic policies in constitution itself, thus the government cannot pressurise drug manufacturers to sell medicine in fixed MRPs,” says Pashupati Murarka, President of Federation of Nepaleses Chambers of Commerce and Industry (FNCCI). “Drug manufacturers should be authorised to price their products so that they can compete in the international market following the market trends.” He said that with the rising value of US dollar, price of raw materials have also increased. “But the government is not considering these facts,” he argues. </p>
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