Anti-cancer drugs: trade margins on non-scheduled drugs capped at 30%
Why in the news
The Ministry of Chemicals and Fertilizers decided to limit trade margins on the supply and sale of non-scheduled anti-cancer medicines to 30% of the maximum retail price (MRP), as reported on 9 October 2026.
Key facts
- Trade margin cap: 30% of MRP for non-scheduled anti-cancer drugs.
- Drug list: to be finalised by an expert committee under the Directorate General of Health Services (DGHS).
- Notification: the National Pharmaceutical Pricing Authority (NPPA) will notify the cap once the list is ready.
- Expected benefit: prices could drop by up to 70%, with savings of about ₹2,500 crore a year for patients.
- Makers of these drugs must keep production at current levels.
- Scheduled essential cancer medicines already carry government-fixed ceiling prices.
- Cancer incidence in India is about 60 per lakh population, the ministry noted.
Earlier and current action compared
| Item | February 2019 | October 2026 |
|---|---|---|
| Drugs covered | 42 selected non-scheduled anti-cancer drugs | Non-scheduled anti-cancer drugs on a DGHS-finalised list |
| Outcome | MRPs cut by up to 91% | Prices expected to fall by up to 70% |
About NPPA
The National Pharmaceutical Pricing Authority is the drug pricing regulator linked to the Ministry of Chemicals and Fertilizers. In 2019 it capped trade margins on selected cancer drugs on government direction, and it will again notify the new 30% cap.
Exam angle
- Trade margin = gap between the price a seller pays and the MRP; the new cap is 30% of MRP.
- Scheduled drugs have ceiling prices; non-scheduled drugs are the focus of this cap.
- Recall the 2019 precedent: 42 anti-cancer drugs, MRPs down by up to 91%.