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The Delhi-based South Chemists & Distributors Association (SCDA) has expressed its displeasure on the National Pharmaceutical Pricing Authority (NPPA) acknowledging the online pharmacies in its Office Memorandum (OM), stating that there is no regulation for online pharmacies and it is illegal and against rules and regulations.
It also sought the NPPA to facilitate the latest price lists of medicines in its portal for the access to the public rather than directing the pharmacies across the country to display all the prices in their premises, which is an impossible task.
This is in response to the NPPA's recent OM asking all the retailers and dealers including online pharmacies carrying on business of purchase or sale of drugs through physical mode as well as online mode i.e through website/online portal/ mobile app/e-commerce platforms or any other online mode are required to display the current price list as per the provisions of DPCO, 2013.
The Association argues that the current operations of the e-pharmacies in the country are illegal and the NPPA should make an effort to discourage the online pharmacies and its operations.
"....but on the contrary, it seems to be promoting them," alleged Yash Aggarwal, legal head of SCDA, in a letter to P Krishnamurthy, chairman of NPPA. The Association has questioned the prevalence of online pharmacies in the country in the Delhi High Court, and the matter is being heard by the Court.
"It is very disheartening to see that NPPA is oblivious to the fact that online pharmacies are illegal and are operating in contravention to the Drug & Cosmetics Act and Rules thereunder. In fact, it seems that NPPA is promoting the online pharmacies by giving them a legal status against the Drug & Cosmetics Act by mentioning their name in the Office Memorandum".
"We expect that NPPA should withdraw the words virtual/online/electronic premises/online pharmacies from the document, as the document is issued by a competent authority and they should not be recognizing an illegal form of trade," it added.
Responding to the directive to display the price lists in the physical premises, SCDA said that there are over 50,000 Stock Keeping Units (SKUs) of medicines in the country and on an average a pharmacy will be carrying anywhere between 1,500 to 10,000 SKU’s.
"It is very impractical to imagine that a pharmacy, however small or big they are will be able to display the price lists of all products available with them," it says.
Also, a pharmacy may not be selling all products of all companies and for them to segregate the products they sell from the price lists of all companies and then display them on the premises is grossly demanding and an impossible task.
"In this age of technology, it will be best possible solution for transparency if NPPA can maintain a website where all the latest price lists of companies is uploaded which can be checked by any patient at a click of a button," suggested the letter to NPPA.
SCDA is an association of pharmacists, chemists and pharmaceutical distributors working in the area of South Delhi, South East Delhi, South West Delhi and New Delhi with an approximate strength of 8,000 retailers and distributors with a combined strength of nearly 50,000 people working under it.
In its OM, NPPA said that the Para 24 (4) of the DPCO states that every retailer and dealer shall display the price list and supplementary price list, if any, as furnished by the manufacturer, "on a conspicuous part of the premises where he carried on business in a manner so as to be easily accessible to any person wishing to consult the same". Similar provisions are incorporated in the Para 25 for non-scheduled drugs.
The Authority said that use of the terminology "on a conspicuous part of the premises where he carries on business" covers not only the physical premises where the retailer or dealer carries on business, but also covers the virtual or online or electronic premises where the retailer or dealer carries on business.
It also warned that the Authority would initiate appropriate action against those who fail to comply with the direction, as per the provisions of the DPCO, 2013 read with Essential Commodities Act, 1955.
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