Rajya Sabha MP from Delhi, Swati Maliwal, citing the 2025 report of the Standing Committee of Parliament, raised the issue of arbitrariness on the rates of medicines of pharmaceutical companies in the Parliament. The MP said, ‘Some pharma companies are earning profits ranging from 600 percent to 1100 percent on medicines. Giving an example, he said that Cetirizine, a common allergy medicine, has a stockist price of Rs 1.52 but is being sold at Rs 21.06. Similarly, the price to stockist of pain killer Ibuprofen is Rs 831 and MRP is Rs 4560. There is a price variation of up to 109 percent among the brands of insulin injections.
Along with this it was said that the cost of some essential antibiotics and life saving cancer drugs is in lakhs. Asking a question to Union Health and Family Welfare Minister Jagat Prakash Nadda, he said whether the government will set a strong regulatory framework so that this profiteering can be stopped and the common man can get medicines at affordable prices.
However, in response to this, Union Minister Nadda said that your question is a policy related issue, the pricing policy and drug policy of the government is a continuous and transparent process, which is done by the department from time to time to assess the relevance, impact and efficiency of the existing policy and if any improvement is needed, then it can be done keeping in mind the interests of all the stakeholders.
He said that the Department and the National Pharmaceutical Pricing Authority (NPPA) have collaborated with various organizations associated with the pharmaceutical industry such as CII, FICCI, OPPI, IPA, AIMED, ADVAMED, MTAI, USIBC, ASSOCHAM, NATHEALTH etc., MSME organizations such as Laghu Udyog Bharti, IDMA, FOPE and patient interest groups such as AIDAN, MSF, Patient Safety and Access Initiative of India Foundation etc. on the National Drug Pricing Policy, 2012. (NPPP, 2012) and Drugs (Price Control) Order, 2013 (DPCO, 2013). Feedback was received from stakeholders on the operation of the existing policy framework.
The suggestions received during these consultations provide information about what issues need to be addressed in the current policy. The Department and NPPA remain in constant touch with the stakeholders to understand the problems and resolve them either under the existing system or by making necessary provisions.
Further, MP Swati Maliwal, while asking questions to the Union Health Minister, said that the Ministry had conducted a special audit in 2024 which had revealed that a pharmaceutical company spent about Rs 2 crore and took 30 doctors to Paris. This is not the first time this has happened. Pharma companies often give incentives to doctors, if you prescribe this injection, you will get this much money on every injection, if the volume is high, then the foreign trip is confirmed.
The MP asked what action was taken against the pharmaceutical company which took the doctors to France. Along with this he asked whether the government is bringing any strict law to regulate this problem? Responding to this, the Union Minister said that this is a matter related to the Indian Medical Association. They do not do this on behalf of the pharma department, but IMA has a code of conduct, they take action under the code of conduct, cancel licenses and also take action against them.