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Generic medicines can drastically reduce treatment costs: Shanta Kumar

Palampur, Oct 31 (UNI) Former Himachal Pradesh Chief Minister and former union Minister Shanta Kumar, on Saturday, said patients in India were being exploited through exorbitant prices of branded medicines, and stressed that the use of generic medicines could significantly reduce healthcare costs.
He said a medicine costing Rs 270 was sometimes sold for as much as Rs 27,000 under the MRP system. The issue had even reached the Supreme Court, following which the Central government had taken some important decisions.
Recalling his tenure as a Rajya Sabha member, Shanta Kumar said he had chaired the Parliamentary Standing Committee on Commerce, which deliberated on the issue of medicine prices for nearly a year.
The committee had made two major recommendations, including making it mandatory for doctors to prescribe only generic medicines.
He explained that under Indian law, a company enjoys exclusive rights to manufacture a patented medicine for 20 years. After the patent period expires, other companies can manufacture its generic versions.
India is among the world's leading producers of generic medicines, which are also exported to countries such as the United States.
He maintained that generic medicines were as effective and of the same quality as branded medicines but considerably cheaper.
Citing an example from the committee's report, he said a branded cancer drug, Maxowar, was priced at Rs 80,000, but its generic version, manufactured by an Indian company, was available for just Rs 6,000.
Shanta Kumar said the committee had also recommended that pharmaceutical companies should not charge a profit margin exceeding 20 per cent over the cost of medicines, but the government had yet to act on this recommendation.
He welcomed the government's recent directive asking doctors in all departments to prescribe only generic medicines. He said a similar order had been issued earlier but remained confined to official papers.
Effective implementation of the directive would benefit crores of people and substantially reduce the cost of medical treatment, he added.
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