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    NPPA proposes to slash cardiac stent prices by 50%

    Synopsis

    The body has proposed that ceiling prices of drug-eluting stents (DES) be fixed at rates ranging between Rs21,881 to Rs67,272—less than 50% the prices currently billed to patients for the devices.

    ET Bureau
    NEW DELHI: India's drug pricing regulator, National Pharmaceutical Pricing Authority (NPPA), may halve the price of life-saving drug eluting cardiac stents come February.

    The body has proposed that ceiling prices of drug-eluting stents (DES) be fixed at rates ranging between Rs 21,881 to Rs 67,272—less than 50% the prices currently billed to patients for the devices.

    Cardiac stents are tiny wire mesh tubes used to unclog coronary arteries and prevent heart attacks.

    Most of the proposed DES ceiling prices fall within a range of Rs20,000-Rs40,000 while the highest—Rs67,272—has been calculated using the average price of the stent to the hospital topped with a 16% margin. Both Indian and global stent makers have urged NPPA to fix the ceiling prices of stents using a formula of price to hospitals.

    The maximum retail prices (MRPs) of DES currently range from Rs22,500—the Central Government Health Services (CGHS) reimbursement rate—to as much as Rs1.95 lakh for the latest launches.

    NPPA may only segregate stents into two broad categories instead of providing different ceiling prices for Bare Metal Stents (BMS), DES and bioresorbable vascular stents (BVS), as suggested by indigenous stent makers.

    The body has so far only proposed to separate the ceiling prices for bare-metal stents (BMS) and DES, where DES would also include BVS.

    It may also not concede to suggestions by multinational stent makers to differentiate the ceiling prices of DES based on a matrix that includes criteria like the complexity of the stent design or how innovative it is.

    NPPA may, however, differentiate between stainless steel and cobalt BMS, according to some of the formulas and prices proposed by the body. Depending on which formula is used, the ceiling price of BMS may be fixed anywhere between Rs8,422 to Rs15,211.

    Stakeholders, including stent makers, hospitals and civil society organizations, are expected to make any representations on the proposed prices by January 26, 2017.

    "All options as given…are indicative, not exhaustive," stated AK Khurana, Director (Pricing), NPPA, in a notification dated January 13. "NPPA is open to consider additional options, if any, which may be suggested by any of the stakeholders," he added.


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