In a move that could help bringing down healthcare costs, the parliamentary standing committee in their recent report has asked the government to put a blanket cap on profit margins of all medicines across the board.
“The committee is of the considered view that given the current ground realities in the country where more than 80 per cent population is dependent on private medical care and nearly 45 crore people live below the poverty line, the most effective and direct approach would be to put a blanket cap on profit margins of all medicines across the board. Medicines are the only item where the decision to buy is not taken by the purchaser but by a third party i.e., doctor. Therefore, if prescribers and producers join hands and take advantage of a patients’ helplessness, only state can stop them,” it said. The committee has also recommended inclusion of more essential and life saving drugs under price regulation. As of now the number of drugs under the price control remains at a pathetic 74. The list was last prepared in 1994.
The committee expressed shock that despite there being irrefutable evidence of a strong link between high prices of medicines and poverty, the number of drugs under price control still remains at a pathetic 74. “The committee is, therefore, convinced that there is no other alternative but to include more essential and life saving drugs under price regulation,” noted the committee.
Noting that prescription of irrational and useless drugs by many of the doctors with ulterior motives being rampant, the committee recommended the Union health ministry to take up the matter with the department of pharmaceuticals at the highest level with a view to revisiting the issue of inclusion of drug in DPCO and making it more rational and patient-friendly.
The committee also found that there was no mechanism in place to regulate the prices of new patented drugs which are imported in the country and sold at supernormal profits, whereas prices of the same medicines are considerably lower in other countries.
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RS passes medical council bill
Age Correspondent
NEW DELHI, MAY 9
The RS Wednesday passed the Indian Medical Council (Amendment) Bill, 2012, a bill seeking to extend the tenure of the board of governors of the Medical Council of India with a voice vote. The government also promised to consult all parties on the NCHRH Bill that seeks to create an overarching body for health institutions in the country. However, the Trinamul Congress sought to embarrass the government by criticising the legislation in the Rajya Sabha.