Drug price regulator identifies 3 hospitals overcharging for stents

The National Pharmaceutical Pricing Authority (NPPA) has said three hospitals have been identified for overcharging for stents that have recently been brought under price control.

The NPPA is investigating complaints it received on its helpline.

The drug price regulator last week capped prices of bare metal stents, which are used for treating narrow or weak arteries, at Rs 7,260 and drug-elutingng and biodegradable stents at Rs 29,600. 

As the NPPA has no jurisdiction to curb the price of ancillary products, such as balloon-catheters and guide-wires, it is trying to ensure that manufacturers and hospitals do not create an artificial shortage. The NPPA also cannot control procedure costs at hospitals.

“Hospitals must first raise a demand with a company before complaining of shortage,” said Bhupendra Singh, chairman, NPPA, while advising patients to lodge complaints if hospitals refused to provide stents from available stocks.  

The stent manufacturing industry has reacted adversely to the NPPA notification. The regulator stated none of the 52 brands of imported drug eluting stents, which release drugs to block cell proliferation, were superior to the rest. The NPPA said only five of the 52 brands of imported drug eluting stents had a landed price of over Rs 29,600. 

The NPPA has said a few hospitals and doctors have complained about companies not supplying drug eluting stents. But, manufacturers have told the authority hospitals are not raising fresh demands. 

The government has invoked Section 3(i) of the Drug Price Control Order (DPCO), 2013, according to which no manufacturer can withdraw a product. Also, the government has asked manufacturers to provide details of production and distribution of stents in the country for the next six months. 

The NPPA clarified instead of re-labeling products, it would suffice for stent manufacturers to intimate hospitals and distributors.