Ludhiana: MPs slam central govt for ignoring drug price reforms
In a session held on Wednesday evening on the theme “making healthcare more robust”, members of Parliament and healthcare experts came together to address the urgent need for reforms in the pricing of medicines
Highlighting reforms in the pricing of medicines, MP Ram Gopal Yadav, chairman of the Parliamentary Standing Committee on Health and Family Welfare, expressed his deep frustration over the Centre’s continued disregard for committee recommendations that could make essential medicines more affordable.
In a session held on Wednesday evening on the theme “making healthcare more robust”, members of Parliament and healthcare experts came together to address the urgent need for reforms in the pricing of medicines.
The event, organised by Rajya Sabha member Sanjeev Arora, saw a sharp focus on the long-standing issue of exorbitant maximum retail prices (MRPs) of medicines, and the government’s failure to implement key recommendations of the Parliamentary Standing Committee on Health and Family Welfare.
“This issue has remained unresolved for years. There is a massive gap between the MRP and the actual cost of medicines—and it is the patients who continue to suffer,” MP Yadav said. The MP also admitted the existence of a troubling nexus between some members of the medical fraternity and pharmaceutical companies. “Almost everything in the system is driven by commissions, not patient care,” he said, calling for systemic reforms to protect public health.
He further criticised the current setup where the National Pharmaceutical Pricing Authority (NPPA), functioning under the Union ministry of chemicals and fertilisers, is responsible for price regulation.
“This responsibility should be with the Union ministry of health and family welfare. Only then can we ensure a patient-focused pricing structure,” he asserted. MP Arora echoed these concerns and revealed that India’s average out-of-pocket health expenditure stands at a staggering 60%, compared to just 18% globally—and even as low as 5% in some countries. “This is unacceptable. We need urgent intervention,” he said.
He also pointed out critical gaps in the Ayushman Bharat Scheme, such as the absence of critical care coverage and the reluctance of top private hospitals to enroll under the scheme due to low reimbursement rates.
“The treatment rates under Ayushman Bharat should be brought at par with the Central Government Health Scheme (CGHS),” he suggested. MP Yadav strongly advocated for an increase in India’s healthcare budget—from the current 0.27% of GDP to at least 2–3%—to build infrastructure and provide equitable access to treatment. Punjab health minister Dr Balbir Singh spoke about the state’s initiatives, including the Aam Aadmi Clinics and advanced diagnostic labs. He also underlined Punjab’s commitment to accessible and quality care.
