On capping of Trade Margin by Government, prices of Oxygen concentrators come down up to 54%
TMR for Oxygen Concentrators has resulted in consumer savings
National Pharmaceutical Pricing Authority (NPPA) vide notification dated 3rd June 2021 has capped the Trade Margin for Oxygen Concentrators at 70% on Price to Distributor (PTD) level. Pursuant thereto, a total of 104 manufacturers/importers of Oxygen Concentrators have submitted revised MRP for 252 products/brands.
The downward revision in price up to 54% has been reported in 70 products/brands, showing a reduction in MRP up to Rs. 54,337 per unit. Further, 58 brands have reported price reduction up to 25% and 11 brands between 26-50%. Out of 252 products/brands reported, 18 products/brands reported by the domestic manufacturers did not show any decline in prices. Thus, Trade Margin Rationalisation (TMR) for Oxygen Concentrators has resulted in ensuring consumer savings by eliminating unreasonable profit margins in imported products.
Maximum reduction in MRPs have been observed in the following categories:
- Portable-5LPM (19 out of 80 products)
- Portable-10LPM (7 out of 32 products)
- Stationary-5LPM (19 out of 46 products)
- Stationary-10LPM (13 out of 27 products)
The revised MRP effective from 9th June 2021 on all the brands and specifications have been shared with the State Drug Controllers for strict monitoring and enforcement. The relevant instructions are available on NPPA’s website (www.nppa.gov.in). In order to monitor availability, the manufacturers/importers of Oxygen Concentrators have been directed to submit monthly stock details.
