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The Proposed Design to Fix Ceiling Prices Under 2013 DPCO

In: Regulating Pharmaceutical Prices in India

Author

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  • Ajay Bhaskarabhatla

    (Erasmus University Rotterdam)

Abstract

In previous chapters, we presented a brief overview of the history of pharmaceutical price regulation in India over a period of 4 decades and a case to motivate the need for regulating pharmaceutical prices in India in 2013. In this chapter, we examine the details of the 2013 DPCO design before we assess its success in limiting pharmaceutical prices. We begin by recalling the key differences between the 1995 and 2013 DPCO and describing the manner in which the ceiling price is estimated by the NPPA. The chapter not only anticipates the potential problems associated with the implementation of the design but also highlights how pharmaceutical firms can circumvent price controls.

Suggested Citation

  • Ajay Bhaskarabhatla, 2018. "The Proposed Design to Fix Ceiling Prices Under 2013 DPCO," India Studies in Business and Economics, in: Regulating Pharmaceutical Prices in India, chapter 0, pages 71-80, Springer.
    • Handle: RePEc:spr:isbchp:978-3-319-93393-1_4
    DOI: 10.1007/978-3-319-93393-1_4
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    Cited by:

    1. Rupali Kumar & Mahika Milind Joshi & Rajat Jagdish Palod & Sreedhar Dharmagadda, 2022. "Does India need a new pharmaceutical policy? Examining the implications of the drug price control order," International Journal of Health Planning and Management, Wiley Blackwell, vol. 37(6), pages 3028-3038, November.

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