Despite price cap\, cancer still expensive



Despite price cap, cancer still expensive

Drugs

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The government recently capped prices of several brands of cancer medicines in an attempt to curb profiteering from life-saving drugs, but a closer look at the pharmaceutical industry reveals there are many more anti-cancer medicines that still remain unaffordable to most.

Selection of 42 drugs by the Ministry of Health and Family Welfare (MOHFW) wasn't based on consultations with stakeholders, including patient groups, revealed the All India Drug Action Network (AIDAN). While government intervention put these 42 anti-cancer drugs under a trade margin cap, there are many others, equally high priced drugs, whose prices remain unaffordable.

For example, a strip of 5 mg tablets of Axitinib, that's used to treat kidney cancer, costs Rs 41,737. A 50 ml bottle of Cetuximab, used to treat head, colon, rectum and neck cancers, costs Rs 94,544. A 45 mg vial of Ixabepilone, used to treat advanced breast cancer, costs approximately Rs 72,000. A box of containing 150 capsules of Ceritinib, a targeted therapy for non-small cell lung cancer, costs Rs 1,19,700.

The higher prices may be linked to patent barriers and monopolies. In such a scenario, application of policy tools to increase competition and bring about affordability may not be feasible. AIDAN also noted that the decision on trade margins was made in the absence of consultations from stakeholders, especially patients who would be affected the most.

The formula was developed by the Standing Committee for Affordable Medicines and Health Products (SCAMHP), chaired by Niti Aayog, which is not equipped with the technical expertise housed at the NPPA nor the data for analysing and designing a methodology to cap margins. However, it was still accepted by the NPAA without further due diligence.

Capping Costs

  • 390 anti-cancer medicines came for MRP reduction of up to 87%
  • The move is expected to benefit 22 lakh patients in India, and save nearly Rs 800 crore