India's MRTPC to act against "big pharma"

The Indian Monopolies and Restrictive Trade Practices Commission is reportedly set to act against large pharmaceutical companies alleged to be overcharging for products through a loophole in the country's drug law. The law exempts small companies from the price regulations and the commission claims large drugmakers are evading the regulations by outsourcing their production to smaller companies. MRTPC sources say their investigators have evidence of the practice and will file a report on this issue shortly.

Following complaints about abuse of the price regulations, the National Pharmaceutical Pricing Authority recently launched a policy of fixing industry-wide drug product upper limits instead of establishing individual brand prices, local sources note.