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Topic 307 · Society, Health, Education & Schemes

NPPA caps margins on 137 cancer drugs

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Revise the 12 points first Book 1 RATNA

Core Trigger: Around 17 October 2026 the NPPA capped trade margins at 30 per cent of MRP on 137 non-scheduled anti-cancer drugs.
Effect Date: Prices of many formulations could fall by up to 70 per cent from 9 November 2026.
Current Head: The National Pharmaceutical Pricing Authority works under the Department of Pharmaceuticals.
Key Term: Non-scheduled drugs are medicines outside the DPCO price list; their price rises are otherwise limited to ten per cent yearly.
Savings Estimate: Estimated saving is about Rs 2,500 crore a year; makers must report revised prices in seven days.
Precedent: In 2019 a pilot capped trade margins at the same 30 per cent on 42 anti-cancer drugs.
India Link: Cheaper oncology drugs cut out-of-pocket health spending, supporting the State's duty to improve public health.
Headquarters: NPPA is headquartered in New Delhi, India.
Founded: NPPA was set up on 29 August 1997 to fix and revise prices of controlled drugs.
Landmark: Vincent Panikurlangara v Union of India (1987): maintaining medicine quality and public health is part of Article 21.
Statute: The Drugs (Prices Control) Order, 2013 is made under the Essential Commodities Act, 1955; Paragraph 19 permits extraordinary price control.
Doctrine: Price control is a reasonable restriction on trade under Article 19(6) when imposed in the public interest.

Question 1 of 10

The NPPA capped trade margins on 137 anti-cancer drugs at what share of MRP?

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Answer: (B) 30 per cent

Core Trigger: Around 17 October 2026 the NPPA capped trade margins at 30 per cent of MRP on 137 non-scheduled anti-cancer drugs.From Book 1 RATNA, topic 307, point 1

Question 2 of 10

From which date could prices of many formulations fall by up to 70 per cent?

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Answer: (A) 9 November 2026

Effect Date: Prices of many formulations could fall by up to 70 per cent from 9 November 2026.From Book 1 RATNA, topic 307, point 2

Question 3 of 10

Under which department does the NPPA work?

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Answer: (C) Department of Pharmaceuticals

Current Head: The National Pharmaceutical Pricing Authority works under the Department of Pharmaceuticals.From Book 1 RATNA, topic 307, point 3

Question 4 of 10

Under the NPPA framework, price rises on non-scheduled drugs are normally limited to what share yearly?

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Answer: (D) Ten per cent

Key Term: Non-scheduled drugs are medicines outside the DPCO price list; their price rises are otherwise limited to ten per cent yearly.From Book 1 RATNA, topic 307, point 4

Question 5 of 10

What is the estimated yearly saving from the margin cap?

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Answer: (A) About Rs 2,500 crore

Savings Estimate: Estimated saving is about Rs 2,500 crore a year; makers must report revised prices in seven days.From Book 1 RATNA, topic 307, point 5

Question 6 of 10

In 2019 a pilot capped trade margins on how many anti-cancer drugs?

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Answer: (D) 42

Precedent: In 2019 a pilot capped trade margins at the same 30 per cent on 42 anti-cancer drugs.From Book 1 RATNA, topic 307, point 6

Question 7 of 10

Where is the NPPA headquartered?

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Answer: (A) New Delhi

Headquarters: NPPA is headquartered in New Delhi, India.From Book 1 RATNA, topic 307, point 8

Question 8 of 10

On which date was the NPPA set up?

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Answer: (D) 29 August 1997

Founded: NPPA was set up on 29 August 1997 to fix and revise prices of controlled drugs.From Book 1 RATNA, topic 307, point 9

Question 9 of 10

Vincent Panikurlangara v Union of India (1987) tied medicine quality to which Article?

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Answer: (B) Article 21

Landmark: Vincent Panikurlangara v Union of India (1987): maintaining medicine quality and public health is part of Article 21.From Book 1 RATNA, topic 307, point 10

Question 10 of 10

Consider the statements: 1. The Drugs (Prices Control) Order, 2013 is made under the Essential Commodities Act, 1955. 2. Paragraph 19 permits extraordinary price control. Which is/are correct?

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Answer: (C) Both 1 and 2

Statute: The Drugs (Prices Control) Order, 2013 is made under the Essential Commodities Act, 1955; Paragraph 19 permits extraordinary price control.From Book 1 RATNA, topic 307, point 11

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