Politics · India · 2 hrs ago
India's top court urges price limits on all non-patented medicines
India’s Supreme Court has urged the government to control prices for all non-patented medicines and medical consumables, not just anti-cancer drugs.
The government recently decided to cap trade margins on anti-cancer drugs at 30% of their maximum retail price.
The judges said patients face large gaps between what retailers pay and the prices charged to patients.
They cited an Indian-made heart stent priced at Rs 5,000 for retailers but Rs 25,000 at retail, and a saline drip line priced at Rs 11 for retailers but about Rs 270 at retail.
The court suggested a rule limiting the maximum retail price to no more than 16% above the price to the retailer, but it did not order that change.
The government said tighter controls could reduce medicine availability, especially in rural areas where retailers may need higher margins.
The court asked the government to explain why prices should not be controlled across the full range of non-patented medicines.
India’s Supreme Court urged the government to control prices of all non-patented medicines and medical consumables, not only anti-cancer drugs.
The court suggested limiting maximum retail prices to no more than 16% above the price to the retailer.
The government said higher retailer margins may be needed in areas with low sales to protect access and availability.
The court cited large gaps between retailer prices and maximum retail prices for several products.
- Who
- India’s Supreme Court and the central government.
- What
- The court urged price controls on all non-patented medicines and consumables, suggesting a uniform limit on maximum retail prices.
- When
- Monday; the article was published on October 12, 2026.
- Where
- New Delhi, India.
- Why
- The court said patients face high prices and asked the government to justify leaving medicines outside price controls.
Supreme Court
Central government
Purpose of price controls
Supreme Court
The court said prices for all non-patented medicines and consumables should be controlled to protect patients.
Central government
The government said intervention could hurt the market and affect availability.
Retailer margins
Supreme Court
The court questioned why the full range of medicines should not be subject to price controls.
Central government
The government said higher margins may be needed in areas with lower sales to sustain retailers and maintain access.
The government decided to cap trade margins on anti-cancer drugs at 30% of the maximum retail price.
The Supreme Court asked the government why price controls should not cover all non-patented medicines and consumables.
- Suggested retail-price limit
- No more than 16% above the price to the retailer
- Anti-cancer drug trade-margin cap
- 30% of maximum retail price
- Cardiac stent example
- Retailer price Rs 5,000; maximum retail price Rs 25,000
- Saline drip line example
- Retailer price Rs 11; maximum retail price around Rs 270
- Azithromycin example
- Maximum retail price Rs 78.29; price to stockist Rs 28.5
What people are saying
Give me just one justification in favour of patients (for not controlling the prices). Why can’t you control the entire range of drugs?
If there is too much intervention by govt, it will lead to the market suffering. It will affect availability.
Sources
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