Story perspectives

Supreme Court Slams Drug Price Markups, Calls Authority Defunct

By Drooid · Oct 28, 2026, 04:26 UTC · How we work

Read the story

Story summary

Summary

Supreme Court criticised the Centre for allowing steep medicine price mark-ups.
The bench cited a cancer injection sold for INR11,000 but billed at INR1.30 lakh.
It called the National Pharmaceutical Pricing Authority “totally defunct,” having recovered INR1,582.4 crore of INR10,029.8 crore dues.
Pending recoveries from manufacturers total about INR8,447.4 crore.
The Centre said it capped trade margins on 137 anti-cancer drugs at 30% of MRP, saving INR2,500 crore yearly.

Summary

Court bench, led by Chief Justice Surya Kant, issued a notice to the Centre on Oct 27 2026 over DPDP Act.
Senior advocate Madhavi Divan warned the law could force journalists to seek consent, risking closures.
The petition seeks to void Sections 7, 17(2), 18, 19, 27, 29 and strike down Sections 36, 37, 44(3) and Rules 16-23.
The bench set a further hearing for Nov 17 2026 after requesting the Centre’s response.

History

Global drug regulation began with the 1961 Single Convention on Narcotic Drugs and the 1971 Convention on Psychotropic Substances, prompting nations to create oversight bodies. In India, the Narcotics Control Bureau under the Ministry of Home Affairs enforces the Narcotic Drugs and Psychotropic Substances Act, and courts have periodically reviewed the authority of drug-price regulators.

1 of 3

Historical Context

Global drug regulation began with the 1961 Single Convention on Narcotic Drugs and the 1971 Convention on Psychotropic Substances, prompting nations to create oversight bodies. In India, the Narcotics Control Bureau under the Ministry of Home Affairs enforces the Narcotic Drugs and Psychotropic Substances Act, and courts have periodically reviewed the authority of drug-price regulators.

1 / 3