Govt caps price of oxygen concentrators

Last Updated: Friday, 4 June 2021 (15:59 IST)
New Delhi: The Centre has capped trade margin on up to 70 per cent on Price to Distributor (PTD) level.

''In view of the extraordinary circumstances arising due to the pandemic that has resulted in recent volatility in Maximum Retail Prices (MRP) of Oxygen concentrators, the Government has decided to step-in to regulate the price of Oxygen Concentrators,'' the Ministry of Chemicals and Fertilizers said here on Friday.
 
As per information collected by the government, margin at the level of distributor currently ranges up to 198 per cent.
 
By invoking extraordinary powers under Para 19 of the DPCO, 2013 in larger public interest National Pharmaceutical Pricing Authority (NPPA) has capped the trade margin up to 70 per cent on Price to Distributor (PTD) level on Oxygen Concentrators, the Ministry said in a statement.
 
Earlier, in February 2019 NPPA had successfully capped the trade margin on Anti-cancer Drugs. Based on the notified trade margin, NPPA has instructed the manufacturers/importers to report revised MRP within three days, the statement said.
 
Revised MRPs will be informed in public domain within a week by NPPA. Every retailer, dealer, hospital and institution will display price list as furnished by the manufacturer, on a conspicuous part of the business premises in a manner so as to be easily accessible to any person wishing to consult the same.
 
''The manufacturers/importers not complying with the revised MRP after Trade Margin capping, shall be liable to deposit the overcharged amount along with interest @15% and penalty up to 100% under the provisions of the Drugs (Prices Control) Order, 2013 read with Essential Commodities Act, 1955.
 
''State Drug Controllers (SDCs) shall monitor the compliance of the order to ensure that no manufacturer, distributer, retailer shall sell Oxygen Concentrators to any consumer at a price exceeding the revised MRP, to prevent instances of black-marketing,'' the statement said.
 
The order will be applicable up to November 30, subject to review. (UNI)