Availability and Pricing of Essential Medicines - 31st July 2026 - Ministry of Chemicals and Fertilizers :
Department of Pharmaceuticals - Gazette Notification PDF
Read or download the official PDF of this gazette notification issued by the Ministry of Chemicals and Fertilizers :
Department of Pharmaceuticals on 31st July 2026. Classified under Press Release.
Executive Summary
This report outlines the measures taken by the National Pharmaceutical Pricing Authority (NPPA) and the Department of Pharmaceuticals to ensure the availability and affordability of essential medicines. Key initiatives include monitoring drug shortages, enforcing price compliance under DPCO 2013, and expanding the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) network. Notable actions include a 50% price increase for four critical injections to address severe shortages and the initiation of 2,737 overcharging cases as of March 31, 2026.
Key Points / Main Content
Pricing and Availability Monitoring
Shortage Remediation: The NPPA monitors drug availability and coordinates with state governments and manufacturers to address reported shortages.
Ceiling Price Adjustments: A one-time 50% increase in ceiling prices was granted for Carboplatin Injection, Cisplatin Injection, and two types of Anti-Tetanus Immunoglobulin to prevent severe shortages.
Overcharging Enforcement: As of March 31, 2026, the NPPA initiated action in 2,737 cases of overcharging under the provisions of DPCO 2013.
Affordable Generic Medicines (PMBJP)
Network Expansion: Over 20,000 Jan Aushadhi Kendras (JAKs) provide generic medicines at prices 50% to 80% lower than branded alternatives.
Stocking Incentives: Since September 2024, JAK owners receive monthly incentives for maintaining stocks of 200 commonly used and fast-selling medicines.
Supply Chain Infrastructure: An IT-enabled system connects five warehouses and 42 distributors to ensure smooth supply.
Demand Monitoring: The PMBI regularly monitors 400 fast-moving products and uses digital estimation methods to augment procurement.
Wider Healthcare Initiatives
Health Insurance: Ayushman Bharat (AB-PMJAY) provides ₹5 lakh annual coverage per family for secondary and tertiary hospitalisation, including medicines.
Free Medicine Schemes: The National Health Mission offers essential medicines free of charge at public health facilities, from Primary Health Centres to district hospitals.
Specialized Treatments: AMRIT pharmacy stores provide medicines for cancer and cardiovascular diseases, as well as implants, at discounts of up to 50%.
Financial Grants: Families living below the poverty line can access financial assistance for life-threatening diseases via the Rashtriya Arogya Nidhi and the Health Minister’s Discretionary Grant.
Impact Analysis
Pharmaceutical CompaniesImpact: Subject to strict monitoring of ceiling prices and compliance with DPCO 2013. Four manufacturers of specific oncology and tetanus injections benefited from price increases to sustain supply.
Action Required: Companies must adhere to price caps and respond to demand notices regarding overcharging; manufacturers of shortage-prone drugs must coordinate with NPPA.
Jan Aushadhi Kendra (JAK) OwnersImpact: Eligible for monthly financial incentives for maintaining specific inventory levels.
Action Required: Ensure consistent stocking of 200 prioritized medicines (100 top-selling and 100 fast-selling) to qualify for incentives.
General Public (especially poor and deprived patients)Impact: Significant reduction in out-of-pocket expenses through generic medicines (50-80% cheaper) and free drug initiatives at public facilities.
Action Required: Patients can utilize JAK outlets, AMRIT pharmacies, or apply for financial assistance under Rashtriya Arogya Nidhi if eligible.
National Pharmaceutical Pricing Authority (NPPA) / PMBIImpact: Increased responsibility for digital demand estimation and continuous monitoring of 400 fast-moving products.
Action Required: Maintain the IT-enabled supply chain and continue enforcement of DPCO 2013 regulations across all states.
Key Entities Referenced
National Pharmaceutical Pricing Authority (NPPA): The primary regulatory body monitoring drug availability, identifying shortages, and controlling ceiling prices for essential medicines.
Drug (Prices Control) Order (DPCO), 2013: The regulatory framework under which the NPPA monitors pricing compliance and takes action against pharmaceutical overcharging.
Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP): A government scheme aimed at providing quality generic medicines at affordable prices through a network of Jan Aushadhi Kendras.
Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY): A national health insurance scheme providing coverage of ₹5 lakh per family for secondary and tertiary care, including medicine costs.
Free Drugs Service Initiative: An initiative under the National Health Mission that provides essential medicines free of charge at various public health facilities.
Ministry of Chemicals and Fertilizers :
Department of Pharmaceuticals
Availability and Pricing of Essential Medicines
प्रव तथ: 31 JUL 2026 2:29PM by PIB Delhi
The National Pharmaceutical Pricing Authority (NPPA) under the Department of Pharmaceuticals
monitors the availability of drugs including generic drugs, identifies shortages, if any, and takes remedial
steps to ensure availability of drugs to the consumers. As and when the reports of shortages of particular
drug(s) in any part of the country are received through various sources including Price Monitoring and
Resource Units set up in States (including Uttar Pradesh), NPPA coordinates with the State Government
authorities and companies manufacturing the specific medicines to ensure that the shortages are addressed.
During the last one year, NPPA, allowed a one-time increase in the ceiling prices of four medicines
namely, Carboplatin Injection 10 mg/ml, Cisplatin Injection 1 mg/ml, Anti-Tetanus Immunoglobulin 250
IU and Anti-Tetanus Immunoglobulin 500IU by 50% based on the feedback received from public health
authorities and companies regarding their severe shortages.
NPPA also monitors the compliance with the provisions of the DPCO, 2013 and takes appropriate action
on cases of overcharging and other violations, in accordance with the provisions of DPCO, 2013. Till
31.03.2026, NPPA has initiated action in 2737 cases of overcharging. The detailed list of overcharging
cases where demand notices have been issued is available on NPPA website (https://nppa.gov.in). Further,
NPPA does not maintain state-wise record of overcharging by pharmaceutical companies.
Further, with an objective of making quality generic medicines available at affordable prices to all
especially for the poor and the deprived ones, quality generic medicines are provided under the Pradhan
Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) of the Department through more than 20,000 dedicated
outlets known as Jan Aushadhi Kendras (JAKs) at rates that are typically 50% to 80% cheaper than
branded medicines. In order to address any supply gaps and ensure smooth supply and availability of
affordable generic medicines at JAKs under PMBJP, the following measures are in place:
(i) Since September 2024, stocking by JAKs of 200 commonly used medicines,
consisting of the 100 top-selling medicines in the scheme product basket and 100 fast-
selling medicines in the market, has been incentivised, under which JAK owners are
eligible for monthly incentive based on the stocks that they maintain for these medicines.
(ii) An end-to-end information-technology-enabled supply chain system is in place to
connect a robust supply chain system consisting of five warehouses and a growing network
of distributors across the country, currently numbering 42.
(iii) In addition, with a view to ensure availability of commonly used products, 400
fast-moving products are monitored regularly by Pharmaceuticals and Medical Devices
Bureau of India (PMBI), the scheme implementing agency, and demand for the same is
estimated on a continuous basis. Further, steps have been taken to digitise the estimation
method to augment the procurement process.In addition, various other measures taken by the Government to improve the availability, affordability and
accessibility of essential medicines across the country are as under:
i. Under Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) of the Department of
Health and Family Welfare, health assurance/insurance cover of ₹5 lakh per family per year is
provided for secondary or tertiary care hospitalisation, including for medicines.
ii. Under the Free Drugs Service Initiative of the National Health Mission, essential medicines list
recommended under the Indian Public Health Standards (IPHS) are made available free of any
charge at public health facilities ranging from Primary Health Centres (PHCs) to district hospitals
across the country.
iii. Under the Amrit (Affordable Medicines and Reliable Implants for Treatment) initiative of the
Department of Health and Family Welfare, affordable medicines are provided for the treatment of
cancer, cardiovascular and other diseases, implants, surgical disposables and other consumables etc.,
at an average discount of up to 50% on market rates through AMRIT Pharmacy stores set up in
number of hospitals and healthcare institutions.
iv. Financial assistance is provided to poor patients belonging to families living below the poverty line,
who suffer from major life-threatening diseases including cancer, under the umbrella scheme of
Rashtriya Arogya Nidhi and the Health Minister’s Discretionary Grant.
This information was given by Minister of State for Chemicals and Fertilizers, Smt. Anupriya Patel, in a
written reply in the Lok Sabha today.
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