Govt allows regulator to raise cancer drug prices to tackle nationwide shortage

The government has given a go-ahead to a regulator to increase the prices for platinum-based cancer drugs amid the shortage due to a spike in raw material costs.

According to Reuters, patients in India have been “grappling with shortages of platinum-based cancer drugs cisplatin and carboplatin”. The added that several hospitals, especially government-run ​facilities, are short of supplies.

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Notably, the prices of the drugs used to treat cancers ​of the lung, ovaries and gall bladder, are capped by ⁠the central government.

The Department of Pharmaceuticals ​approved the request by the National Pharmaceutical Pricing Authority (NPPA) for revision of prices of ​these drugs in a letter dated June 7.

The regulator had earlier sought approval to increase the prices under exceptional provisions of the law that can be used in public ​interest, as per the letter.

“NPPA has sought the approval of the DoP… to increase price in respect to four formulations… In this regard, it is conveyed that the in-principle approval of the Hon’ble Minister… is granted,” read the letter dated June 7 from the DoP to NPPA.

A government source told Reuters that the government has approved a price increase, while the “final decision will be taken by NPPA as it is an independent regulatory body ⁠which works under the government”.

Industry experts have highlighted that the Platinum prices have more than doubled, amid constrained supply, robust demand and dwindling inventories. Drugmakers ⁠had temporarily halted production of cisplatin and carboplatin after they were not able to secure platinum-based raw materials or pass ​on higher costs to consumers.

Among those making ⁠these platinum-based chemotherapy drugs are Cipla, Intas Pharmaceuticals, as well as oncology specialists such as Naprod Life Sciences and Venus Remedies.