What happened: Government explanation of NPPA’s DPCO, 2013 price regulation for essential medicines
The Ministry of Chemicals and Fertilizers (Department of Pharmaceuticals) explains that India regulates prices of essential medicines under the Drugs (Prices Control) Order, 2013 (DPCO, 2013), implemented through the National Pharmaceutical Pricing Authority (NPPA). The Government also connects these pricing controls with measures meant to improve affordability and access to essential medicines and patient support.
Background and earlier position: DPCO’s schedule-based and category-based controls
DPCO, 2013 uses a schedule-based approach for ceiling prices and adds separate price rules for “new drugs” and for non-scheduled formulations. DPCO also imposes duties on how manufacturers print and comply with Maximum Retail Price (MRP) labels and restricts sales above applicable price lists or pack labels.
What changed now: quantified NPPA coverage under schedule and “new drugs” pricing
The Government provides figures for NPPA price fixation reported up to 23.07.2026, including ceiling price fixation for 935 scheduled formulations and retail price fixation for 3,845 new drugs. The Government also reiterates the basis for ceiling price fixation through National List of Essential Medicines (NLEM) 2022.
Related current affairs
- Drug price regulation and availability measures for essential medicines
- Government’s measures to regulate and control prices of life-saving drugs
- Regulation of drug prices under DPCO 2013 and NPPA’s price-fixation process
- Government measures to improve access to affordable medicines (Janaushadhi, AB-PMJAY, Free Drugs Service Initiative, AMRIT, Rashtriya Arogya Nidhi/Discretionary Grant)