Cancer Drug Margins Reach Up to 700% Despite Past NPPA Price Caps, Data Shows

Recent data cited by the All-India Drug Action Network (AIDAN) indicates that trade mark-ups on several anti-cancer drugs reached between 100% and 700% prior to a recent list issued by the National Pharmaceutical Pricing Authority (NPPA). This follows an earlier NPPA intervention in February 2019 that attempted to cap trade margins at 30% of the selling price.

According to the reported figures, the majority of anti-cancer drugs from the 2019 list that reappeared in recent NPPA pricing data had breached the 43% mark-up level, which corresponds to a 30% trade margin calculated on the final maximum retail price (MRP).

Findings on Anti-Cancer Drug Pricing

• Out of 137 anti-cancer drugs listed by the NPPA for margin reduction, 34 originate from the 2019 list of 42 anti-cancer medications.
• Prior to the latest order, only five brands from the 2019 list maintained a mark-up of 43%, while four others ranged between 43% and 100%.
• The mark-ups on the remaining 39 drugs spanned from 100% to over 700%.

Policy Concerns and Recommendations

Malini Aisola of AIDAN highlighted limitations in current regulatory approaches, stating that a one-time MRP reduction is insufficient without permanent margin caps and ongoing monitoring to prevent mark-ups from climbing again.

Readers can verify official pharmaceutical pricing updates directly through notifications published on the official website of the National Pharmaceutical Pricing Authority (NPPA) in India.