Who actually sets the MRP on your medicine? A plain guide for India

Transcript

Three parties shape the number printed on a medicine strip in India.

The government writes the rules, the manufacturer sets the price within them, and the trade earns the gap.

Essential medicines are placed in Schedule One of the price control order.

For these, the national pricing authority calculates a ceiling price.

Manufacturers may sell at or below it.

For everything else, the manufacturer fixes the MRP at launch.

After that, it cannot raise the MRP by more than ten percent in twelve months.

And trade margins are negotiated brand by brand.

That is why online pharmacies and Jan Aushadhi stores can offer discounts.

The useful question is usually whether an equivalent brand or generic is available at a lower MRP, and whether it suits the patient.

The full guide, with sources, is on gauravphogat.com.

The link is in the description.