Drugs pricing row: 4 pharma firms move HC against govt order

Four pharma firms today moved the Delhi High Court challenging government's new drug pricing order that asked them to slash prices of certain medicines.
The companies were also told to replace stocks in the market with those carrying reduced prices within 45 days of new price notification.
A bench headed by Acting Chief Justice B D Ahmed asked the Centre not to take coercive steps against the firms - Macleods Pharmaceuticals Limited, Emcure Pharmaceuticals ltd, Laborate Pharmaceuticals India Ltd and Micro Labs Limited.
Firms like Cipla Ltd, which had approached the court earlier, have challenged the 2013 Drug Price Control Order (DPCO), issued by the National Pharmaceutical Pricing Authority (NPPA).

The DCPO had ordered reduction of prices of some medicines within 45 days of issuance of the notification and that the decreased prices be made effective on drugs already in market.
The deadline for implementation of the notification ended on July 29.

"The counsel for the petitioners shall also file copies of the agreements entered into with CNF agents/stockists/ distributors, if any, within two weeks," the bench said, adding the pharama firms will also have to give details of medicines "manufactured or sold".
Meanwhile, the Indian Drug Manufacturers Association today also moved the court against the DCPO order. The plea would be heard on August 5.

Earlier, the court had granted the same interim relief to Cipla Ltd by asking the Centre not to take coercive steps against it. Cipla has challenged the DCPO order asking it to reduce prices of its 125 drugs within 45 days of issuance of the notification.
The Ministry of Chemicals and Fertilisers, had on May 15, through NPPA issued a notification to implement the DPCO asking pharma companies to reduce prices of 348 medicines.
The DPCO also asked them to replace stocks in the market with those carrying reduced maximum retail price within 45 days of the new price notification by the NPPA.