Govt moves to check artificial shortage of stents

Even as the stent manufacturing industry protests the National Pharmaceutical Pricing Authority’s order on cost cap, the Centre is working to prevent an industry-led shortage of the device. The Department of Pharmaceuticals has brought on board various drug safety regulators to ensure that players adhere to fixed prices and that there is no attempt at creating a shortage of stents. 

In a letter addressed to the Drug Controller General of India (DCGI), minister for chemicals and fertilizers, Ananth Kumar, said, “it is requested that necessary action may be taken to ensure availability of coronary stents through state drug regulators.” Business Standard has reviewed a copy of the letter.

A senior official from the Department of Pharmaceuticals told Business Standard, “the government will blacklist companies that try to overcharge and try to create a shortage of coronary stents.” 

Industry is disappointed for two main reasons — being asked to adhere to price cap with immediate effect, and clubbing all types of drug eluting stents. Fearing an ''artificial shortage'', NPPA has instructed manufacturers to submit the price list of stents to state drug regulators as well. NPPA can impose penalties on manufacturers selling at a cost higher than the ceiling price. 

NPPA fixed the prices of stents on February 14 using its emergency powers. It noted that there were “huge unethical mark-ups charged at each stage of the supply chain” that resulted in irrational prices of stents in the market. Prices of all drug eluting stents were fixed at Rs 29,600 and those of bare metal stents at Rs 7,260. This meant a price reduction of around 85 per cent. Before the revision, stents were sold at anything between Rs 25,000 and Rs 1,80,000.