National Pharmaceutical Pricing Authority (NPPA)

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Consider the following statements about National Pharmaceutical Pricing Authority (NPPA)

1.     It functions under the Ministry of Consumer Affairs, Food and Public Distribution

2.     It fixes/revises the prices of controlled bulk drugs and formulations

Select the correct statements

a     1 Only

b     2 Only

c      Both 1 and 2

d     Neither 1 nor 2

Explanation:

Solution (b)

Ministry of Chemicals and Fertilizers

About

·      NPPA is an organization of the Government of India which was established, inter alia, to fix/ revise the prices of controlled bulk drugs and formulations and to enforce prices and availability of the medicines in the country, under the Drugs (Prices Control) Order, 1995.

·      The organization is also entrusted with the task of recovering amounts overcharged by manufacturers for the controlled drugs from the consumers.

·      It also monitors the prices of decontrolled drugs in order to keep them at reasonable levels.

Functions of National Pharmaceutical Pricing Authority

·      to implement and enforce the provisions of the Drugs (Prices Control) Order in accordance with the powers delegated to it.

·      to deal with all legal matters arising out of the decisions of the Authority;

·      to monitor the availability of drugs, identify shortages, if any, and to take remedial steps;

·      to collect/ maintain data on production, exports and imports, market share of individual companies, profitability of companies etc, for bulk drugs and formulations;

·      to undertake and/ or sponsor relevant studies in respect of pricing of drugs/ pharmaceuticals;

·      to recruit/ appoint the officers and other staff members of the Authority, as per rules and procedures laid down by the Government;

·      to render advice to the Central Government on changes/ revisions in the drug policy;

·      to render assistance to the Central Government in the parliamentary matters relating to the drug pricing.

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