NPPA extends price ceiling on knee implants till 14 September 2021
19 Sep 2020
The National Pharmaceutical Pricing Authority (NPPA) has extended ceiling prices of knee implants for another one year, ie, till 14 September 2021, in order to ensure accessibility of necessary medical devices to the common man at reasonable price.
The drug price regulator, which functions under the Department of Pharmaceuticals of the ministry of chemicals and fertilisers, on Tuesday issued a notification under the Drug Price Control Order (DPCO) to this effect.
The ceiling on the price of orthopaedic knee implants was first implemented through an order issued by NPPA on 16 August 2017 for the first time for a period of one year. This was extended for further one year on 13 August 2018 and then on 15 August 2019. This period ended on 15 August 2020 and the ceiling prices for knee implants for knee replacement system was due for review by 15 August 2020.
NPPA in July 2020 directed all companies manufacturing and importing primary and revision knee system to submit sales data for the period July 2018 to June 2020. In its meetings held on 6 August 2020, NPPA after observing the data collected from 14 major companies (10 importers and 4 domestic manufacturers) decided that the ceiling prices for knee implants as applicable on 15 August 2020 may be further extended up to one month up to 15 September 2020.
The matter was discussed again in the NPPA’s meeting held on 14 September 2020. In the meeting it was noted that fixing ceiling prices for orthopaedic knee implants in the year 2017 had resulted in price reduction up to 69 per cent and domestic manufacturers' market share has risen by 11 per cent over the period of two years, which is in line with the government’s motto of ‘Atmanirbhar Bharat’.
Keeping this in view it was felt necessary that ceiling price system continue to be regulated in wider public interest. Accordingly the Authority decided to extend the existing ceiling prices for another one year (up to 14 September 2021) and notification dated 15 September 2020 was issued in this regard. The move has enable to save Rs1500 crore of the common man.