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Center caps of oxygen concentrators prices | India News


NEW DELHI: The National Pharmaceutical Pricing Authority (NPPA) has capped the trade margin for oxygen concentrators to 70 percent, the Ministry of Chemicals and Fertilizers said on Friday.
“The NPPA has limited the trade margin up to 70 percent at the distributor price level (PTD) on oxygen concentrators,” the ministry said.
The order will be applicable until November 30 of this year, subject to review.
The ministry said the trade margin rationalization approach has been taken with the need for oxygen due to the pandemic in mind, invoking extraordinary powers under paragraph 19 of the 2013 DPCO.
According to information compiled by the government, the margin at the distributor level currently ranges up to 198 percent.
“Every retailer, distributor, hospital and institution will display the price list provided by the manufacturer, in a visible part of the commercial premises so that it is easily accessible to anyone who wishes to consult it,” he said.
The ministry further said that manufacturers / importers who do not comply with the revised MRP after the trade margin limitation, will be responsible for depositing the overcharged amount along with 15 percent interest and a penalty of up to 100 percent according to the Provisions of Medicines (Price Control) Order of 2013 read with the Essential Products Law of 1955.
It also directed State Drug Controllers (SDC) to monitor compliance with the order to ensure that no manufacturer, distributor, or retailer sells oxygen concentrators to any consumer at a price that exceeds the revised MRP, to avoid instances of black marketing.
Previously, in February 2019, the NPPA had successfully limited the commercial margin of cancer drugs. Based on the reported trade margin, the NPPA has directed manufacturers / importers to report the revised MRP within three days. NPPA will inform the public of the revised MRPs within one week.
With the increase in cases under the Covid2.0 pandemic in the country, the demand for medical oxygen has increased considerably. The government is striving to ensure an uninterrupted supply of oxygen and oxygen concentrators in adequate quantity in the country during the pandemic.
The oxygen concentrator is an unscheduled drug and is currently under the voluntary licensing framework of the Central Drug Control Organization (CDSCO). Its price is being monitored under the provisions of DPCO 2013.

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