Karnataka seeks central intervention over high cancer medicine markups
The state government has flagged instances where medicines were billed at markups of up to 52 times the procurement cost.
Karnataka Health Minister U.T. Khader has written to Union Health Minister J.P. Nadda seeking intervention regarding pricing discrepancies for 253 medicines and consumables, according to The Hindu.
The state flagged investigations by the Karnataka Food Safety and Drug Administration (FDA) which showed pharmaceutical companies supplying medicines to hospitals at discounted institutional prices while patients were billed near the maximum retail price (MRP).
The communication cited examples such as Gufipol, which has a landing cost of ₹86 and an MRP of ₹4,528, and Taxocare 120 mg, with a landing cost of ₹1,000 and an MRP of ₹21,617.
Other cited medicines include Guficycline-50, Canmab 440 mg, and Bevatas 400 mg, with markups ranging from 10 times to over 52 times the actual procurement cost.
This follows a decision by the National Pharmaceutical Pricing Authority (NPPA) to cap trade margins on 137 non-scheduled anti-cancer medicines at 30 per cent, effective on November 9.
The Centre estimates this could save approximately ₹2,500 crore annually, though oncologists cautioned that high manufacturer-level prices and treatment costs beyond medicines remain significant challenges.