27th February, 2025

In a major step towards making essential medicines more affordable, the National Pharmaceutical Pricing Authority (NPPA) has directed pharmaceutical manufacturers and marketers to reduce the Maximum Retail Price (MRP) of specific drugs that recently received customs duty exemptions or reductions in the Union Budget.

Ensuring Consumers Benefit from Price Cuts

The NPPA’s directive mandates that pharmaceutical companies revise the MRPs of the following:

✅ 36 life-saving drugs that are now fully exempt from customs duty.
✅ Six additional medicines that now attract a concessional 5% duty instead of the standard rate.

📢 Official NPPA Statement:
“All manufacturers and marketing companies selling drugs/formulations mentioned in the notification issued by the Department of Revenue are required to revise the MRP on account of the reduction/exemption of customs duty.”

Additionally, the NPPA has instructed manufacturers to submit revised pricing details using:

🔹 Form II – Used for scheduled formulations.
🔹 Form V – Used for both scheduled and non-scheduled formulations.

Manufacturers must also issue an updated price list to dealers, state drug controllers, and the government, ensuring transparency and compliance.

How Vaayath Consulting Assists in NPPA Compliance

At Vaayath Consulting, we specialize in helping pharmaceutical companies navigate NPPA regulations seamlessly. Our expert team provides end-to-end support in drug pricing compliance, ensuring adherence to all government directives.

🔹 Filing of NPPA Forms – Assistance with submitting all required forms (Form I to Form V) to comply with drug pricing regulations.
🔹 Handling NPPA Matters – End-to-end support for NPPA queries, price control orders, and compliance requirements.
🔹 Technical & Administrative Review – Thorough review of all submissions to ensure accuracy and regulatory compliance.

Our expertise simplifies NPPA compliance, allowing pharmaceutical companies to focus on delivering quality healthcare while meeting regulatory requirements.

Conclusion

With these price revisions, the NPPA reinforces its mission to keep essential medicines affordable and accessible. As pharmaceutical companies adjust their pricing structures, patients can expect lower costs on critical medications, easing their financial burden.

For pharmaceutical businesses, ensuring NPPA compliance is crucial. Vaayath Consulting provides comprehensive regulatory support, helping companies navigate the complexities of drug price regulations efficiently.

💡 Need help with NPPA compliance? Contact Vaayath Consulting today for expert assistance!

For more details, please check NPPA Official Circular