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With the second wave causing a number of deaths and causing the rapid spread of the virus, the need for oxygen cylinders is on the rise. The government is making all efforts to provide a constant supply of oxygen and oxygen concentrators in good quantities throughout the country.
The National Pharmaceutical Pricing Authority (NPPA) has set the trade margin for oxygen concentrators at 70 percent on the price to the distributor. This mandate will be valid till the 30th of November.
The information that has been collected by the government to date has shown that the margin at the level of distributor currently ranges towards 198%. The ministry also mentioned that the margin rationalization approach has been exercised by discerning the need for oxygen due to the second wave.
It is an order that every retailer, dealer, institution, and the hospital will have to display a price list as given by the manufacturer in a place where it is visible to everyone and is easily accessible.
It is a direct order to the State Drug Controllers (SDC’s) to monitor if entities follow the rules and to make sure that no manufacturer or distributor is charging above the set price to make sure there is no black market trade.
The entities that do not comply with the orders regarding the newly set price will be asked to deposit the overcharged amount in addition to also paying a 15% interest and a penalty of 100% of the price under the provisions of the Drugs (Prices Control) Order, 2013.