The decision in this regard was taken at the review meeting of the Odisha State Medical Corporation (OSMC), Chief Secretary A P Padhi said.
'Niramaya' is the state's flagship programme under which patients are provided medicines free of cost at government health centres across the state.
Padhi said district health authorities often complain of unavailability of required medicines, so CDMOs are empowered and provided with funds to procure medicines as per local demand.
Provision of around Rs 58 crore has also been done for local purchase of medicines by CDMOs, health and family welfare secretary P K Meherda said.
Today's meeting also resolved that the types of medicines approved for procurement and supply under the Niramaya would be enhanced to 558 for the year 2017-18.
Padhi directed the OSMC to ensure adequate supply of medicines at hospital stores and to check whether the drugs are actually being prescribed and issued to patients.
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