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Four of 10 stents used locally 'made in India'

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Patients pay three times import price for stents

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Government must regulate pricing of stents, doctors say

MUMBAI: Barely a week after the Maharashtra Food & Drugs Administration highlighted overpricing of imported cardiac stents , the Centre has asked manufacturers and importers of orthopaedic implants to file details of their pricing mechanism and warned of action for overcharging.The National Pharmaceutical Pricing Authority (NPPA) has in a directive dated May 15 sought details of the annual price rise of implants over the last three years and costs at which distributors buy implants. It added that “the manufacturers/importer/distributor shall be liable to deposit the overcharged amount along with interest thereon, from the date of increase in price in addition to the penalty”.In December 2014, the NPPA had sought similar details about cardiac stents and orthopaedic implants after widespread complaints of overpricing and profiteering by companies. This time around, the NPPA wants to check whether companies have adhered to the Drug Price Control Order of 2013 that prohibits increasing the maximum retail price of non-scheduled drugs by more than 10% of the MRP in the preceding 12 months.The NPPA also wants every manufacturer and importer to issue a price list to the state drug controller and the government from time to time.An industry official who didn’t want to be named said orthopaedic implant pricing is a complex issue as it involves different kinds of alloys and metals. Devices such as artificial knees and hips, depending on whether they are locally manufactured or imported, cost between Rs 55,000 and Rs 1.8 lakh. “The MRP of certain hip joints is Rs 3.6lakh, but hospitals negotiate with distributors/companies for a suitable price depending on the volume of use. So a patient manages to get the implant at half the price,” said a doctor.However, another doctor pointed out that certain hospitals and distributors refuse to reduce the MRP and pass on the benefit of discounted rates to patients. “First and foremost, patients want clarity on prices. They get confused with the variation in charges at hospital or doctor level. It would be good if the government could bring about some transparency or standardization of costs,” said Dr Pradeep Bhonsale, former head of orthopaedic department at KEM Hospital, Parel.“It is up to the patient if he/she wants to buy what is considered the best alloy implant or opt for a lower range. What the government needs to do is ensure there is no cartelization among manufacturers or distributors. It has to put in place checks and balances that ensure that the patient gets the best implant as per his/her buying capacity,” said orthopaedic surgeon Sanjay Agarwala, the medical director of Hinduja Hospital in Mahim.