NPPA Fixes Prices of Over 4,700 Medicines to Ensure Affordable Healthcare, Government Tells Parliament

New Delhi, July 2026 : The National Pharmaceutical Pricing Authority (NPPA) has fixed ceiling prices for 935 scheduled drug formulations and retail prices for 3,845 new drug formulations as of July 23, 2026, to ensure that essential medicines remain affordable and accessible to patients across the country, the Centre informed Parliament on Tuesday.

Minister of State for Chemicals and Fertilisers Anupriya Patel, in a written reply to a question in the Rajya Sabha, said the NPPA continues to regulate medicine prices under the provisions of the Drugs (Prices Control) Order (DPCO), 2013, with the objective of protecting consumers from excessive pricing while ensuring the availability of essential medicines.

She explained that the NPPA determines the ceiling prices of medicines listed under Schedule-I of the DPCO, 2013, which is based on the National List of Essential Medicines (NLEM) prepared by the Ministry of Health and Family Welfare. The current NLEM includes 388 essential medicines, covering a wide range of treatments required for public healthcare.

For medicines that are not included in the scheduled list, manufacturers are permitted to revise the Maximum Retail Price (MRP) by no more than 10 per cent over the MRP prevailing during the previous 12 months. The minister added that the government also retains the authority to fix or regulate the price of any drug in extraordinary circumstances if it considers such intervention necessary in the larger public interest.

Highlighting the government’s efforts to maintain affordability, Patel said the NPPA regularly monitors both the pricing and availability of medicines in the market. Whenever required, the Centre invokes the provisions of the DPCO, 2013, to ensure that essential drugs remain accessible to the public without undue financial burden.

To prevent overcharging, the DPCO mandates that every manufacturer clearly print the MRP on the label of every drug formulation. Retailers and distributors are prohibited from selling medicines above the price indicated on the label or the latest notified price list, whichever is lower. These provisions are intended to provide greater transparency and protect consumers from arbitrary pricing practices.

The minister further informed the House that the NPPA maintains continuous surveillance of both scheduled and non-scheduled drug formulations. Cases of alleged overcharging are investigated based on information received from multiple sources, including Price Monitoring and Resource Units established in various states, State Drug Controllers, market inspections, samples collected from the open market, commercial market databases, and complaints submitted through official grievance redress mechanisms.

If pharmaceutical companies are found violating the pricing regulations, the NPPA initiates action in accordance with the provisions of the DPCO, 2013, including recovery of overcharged amounts and other regulatory measures.

Anupriya Patel also outlined several initiatives undertaken by the government to improve access to affordable medicines and healthcare services. These include the Pradhan Mantri Bhartiya Janaushadhi Pariyojana, which provides quality generic medicines at lower prices through dedicated outlets across the country, the Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), which offers health insurance coverage to economically weaker sections, and the Free Drugs Service Initiative under the National Health Mission, aimed at ensuring the availability of essential medicines at government healthcare facilities.

The government reiterated that it remains committed to balancing the interests of patients and the pharmaceutical industry by ensuring the availability of quality medicines at affordable prices while maintaining a transparent and effective drug pricing mechanism.