NPPA directs MRP cut on three anti-cancer drugs after customs exemption and GST cut
On 29 October 2024, the Department of Pharmaceuticals said NPPA, by an OM dated 28 October 2024, had directed manufacturers to reduce the MRP of three anti-cancer drugs — Trastuzumab, Osimertinib and Durvalumab.
Summary
On 29 October 2024, the Department of Pharmaceuticals said the National Pharmaceutical Pricing Authority (NPPA), by an office memorandum dated 28 October 2024, had directed manufacturers to reduce the MRP of three anti-cancer drugs: Trastuzumab, Osimertinib and Durvalumab. Following the Union Budget 2024-25 announcement, the Department of Revenue's Notification 30/2024 dated 23 July 2024 had cut customs duty on these drugs to nil, and Notification 05/2024 dated 8 October 2024 cut their GST from 12% to 5% with effect from 10 October 2024. NPPA asked that these benefits be passed on to consumers.
Key facts
- Announced
- 29 Oct 2024
- NPPA OM
- Dated 28 Oct 2024
- Drugs
- Trastuzumab, Osimertinib, Durvalumab
- Customs duty
- Nil — Notification 30/2024 dated 23 Jul 2024 (Budget 2024-25)
- GST
- 12% → 5% from 10 Oct 2024 (Notification 05/2024 dated 8 Oct 2024)
Practice MCQs 2 questions
Which of the following is NOT one of the three anti-cancer drugs whose MRP NPPA directed manufacturers to reduce in October 2024?
Show answer
Correct answer: C — Pembrolizumab
PIB (Pharmaceuticals), 29 Oct 2024: the three drugs are Trastuzumab, Osimertinib and Durvalumab.
The GST rate on Trastuzumab, Osimertinib and Durvalumab was cut with effect from 10 October 2024:
Show answer
Correct answer: D — From 12% to 5%
PIB (Pharmaceuticals), 29 Oct 2024: Notification 05/2024 dated 08.10.2024 reduced GST from 12% to 5% w.e.f. 10.10.2024.