India: price-controlled drugs see sales rise

15 October 2006

A study commissioned by the Indian government-supported National Pharmaceutical Pricing Authority has said that common drugs under officially fixed price control for treating pains, arthritis, epilepsy, cardiac problems not only continue to remain in the market but have experienced an average annual growth rate of 15% during the period 1994-2005 (April-March). NPPA sources say that the study contradicts the pharmaceutical industry's claims that drugs under price control gets phased out over a period of five years. The study was carried out by market research group ORG-IMS.

The research revealed, according to the NPPA, that drugs such as phenytoin sodium (used to treat epilepsy), chloramphenicol (an antibiotic), paracetamol (a painkiller), metoprolol (used for cardiac disorders) and diclofenac sodium (for pains associated with common colds) have recorded an annual growth of about 30%, 20%, 17%, 13% and 10%, respectively in the last 10 years.

The NPPA sources said the study "rubbishes" the claims of drugmakers which oppose any kind of price control on the grounds that control results in lower sales and the controlled drugs slowly go out of the market.

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