DoP rejects Geltec's review petition against price fixation on ibuprofen capsule 400mg

Neethikrishna, MumbaiWednesday, January 15, 2020, 08:00 Hrs  [IST]

The Department of Pharmaceuticals (DoP) has rejected the review application filed by Geltec Private Limited against notification S.O. No.1485(E), dated 29.03.2019 issued by the National Pharmaceutical Pricing Authority (NPPA) for price fixation of its formulation ibuprofen capsule 400mg.

Geltec had earlier filed the review application with the reviewing authority, DoP, under paragraph 4, 6 and 16 of the Drugs Prices Control Order (DPCO), 2013 against the NPPA S.O. No.1485(E), dated 29.03.2019 for price fixation of its formulation ''Ibuprofen 400mg capsules''.

The applicant had applied for separate retail price for its formulations ibuprofen 400mg capsules vide in its letter No.19 (1601)/2018/DIV II/NPPA, dated 04.01.2019 to follow the ceiling price of ibuprofen 400mg capsules as notified vide S.O 1687(E), dated 24.05.2017.

The company stated that as per the calculation of ceiling price of Ibuprofen capsules, the NPPA considered formulations which are not available in the domestic Indian market, namely, Fenlong 400mg capsules and Brufen Softra 400mg capsules.

Further the company said that the NPPA should fix the ceiling price for ibuprofen 400mg soft gelatin capsules as per the provisions of para 4 and 15 of the DPCO only after considering the formulations available in the market.

In reply, the NPPA stated that the ceiling price fixed by the NPPA vide S.O. 1485(E), dated 29.03.2019 is based on wholesale price index (WPI) implementation under para 16 of the DPCO. Therefore, the issue raised by the applicant has to be examined in this context.

During examination of the case, the DoP noted that as per the para 31 of the DPCO, any person aggrieved by any notification issued or order made under paragraph 4, 5 and 6 of the DPCO, may apply to the Government for a review of the notification or order.

The DoP further noted that in the instant case, the applicant has filed review against against the NPPA’s price notification issued under para 16 of the DPCO, revising the ceiling prices of scheduled formulations as per the annual WPI for preceding calendar year on or before 1st April of every year and notify the same on the 1st April every year. Therefore, the review application against the said notification is not sustainable and deserves to be rejected.

“Therefore, the review against the insertion of certain footnotes in the notification is not sustainable and deserves to be rejected. The review application is accordingly rejected,” the DoP in its order said.