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NPPA sends notices to 21 hospitals for not displaying prices of knee implant systems on their websites

Our Bureau, Mumbai
Friday, October 13, 2017, 08:00 Hrs  [IST]

Drug pricing regulator National Pharmaceutical Pricing Authority (NPPA) has sent notices to 21 hospitals in the country asking for explanation for not displaying prices of knee implant systems on their websites.

As per the notice, hospitals in Gujarat and Rajasthan have been told to comply with the ceiling prices of orthopedic knee implant system as stipulated through a notification dated August 16, 2017 under the provisions of Drug Price Control Order (DPCO)- 2013.

The hospitals have been given seven days time to respond and explain reasons for not adhering to the government directives. Drug pricing regulator stated the websites of hospitals did not display MRP or price of knee implant systems at which they were billing patients, along with brand name, specifications and names of manufacturing or marketing company.

The list includes five hospitals in Jodhpur, six in Udaipur, three each in Bikaner and Nagaur in Rajasthan. It also includes four hospitals in Ahmedabad.

The notice further states that in accordance with paragraph 24(4) of DPCO 2013, every distributor, dealer and institution shall display price list and the supplementary price list, if any, as furnished by the manufacturer/importer, on a conspicuous part of the premises where he carries on business in a manner so as to be easily accessible to any person wishing to consult the same.

The government said the move of capping the maximum retail price of the keen implants will save patients an estimated Rs 1,500 crore annually. The government has therefore made it clear that all hospitals/nursing homes/clinics must display on home page of their website, the MRP or price of knee implant system at which they are charging or billing the patients, along with brand name, specifications and names of manufacturing or marketing company, within three working days from the issue of the notice.

DPCO 2013 has been issued by the Central government in exercise of the powers conferred by Section 3 of the Essential Commodities Act, 1955 and any contravention of the DPCO is punishable in accordance with the provisions of the Essential Commodities Act, the notice said.

After cardiac stents, on August 16 this year, the government had fixed a price range for knee implants from Rs.54,000 to Rs.1.14 lakh, nearly 70 per cent lower than their earlier price.

 

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