The government has granted in-principle approval for a 50% price increase in two key cancer medicines as soaring platinum costs disrupt production and supplies across the country. According to sources close to the development, the Department of Pharmaceuticals (DoP) has written to the NPPA and given approval under Para 19 of the Drug Prices Control Order (DPCO) for this step. In a gazette notification released on Friday, the pharma pricing watchdog confirmed that the decision was taken at its 147th meeting on Thursday under Para 19 of the Drug (Prices Control) Order. Para 19 of the DPCO grants the government and the NPPA extraordinary powers to fix or revise the ceiling or retail price of any drug in the public interest under exceptional circumstances. This move follows representations from the pharmaceutical industry seeking a one-time price increase for the two cancer medicines, arguing that production had become economically unviable.
Doctors and hospitals are raising urgent alarms over the unavailability of cisplatin and carboplatin, with experts warning that if the shortage continues, it could cause major treatment delays for one in five cancer patients. According to Mint, roughly 20-40% of chemotherapy daycare patients need platinum-based drugs, though treatment regimens can be modified in some cases. For patients undergoing curative-intent treatment, a delay of more than four weeks can increase the risk of mortality by 6% to 10%. As reported by Mint, doctors have started to note the shortage—first of carboplatin, which is typically prescribed first, and then cisplatin—two months ago, with the situation worsening ever since. The impact is now forcing doctors and cancer centers to ration and modify their doses to make existing supplies last longer.
The ceiling price for Cisplatin 1 milligram (mg) per millilitre (ml) injection has been raised to ₹10.89 per ml from ₹7.26 per ml, while prices of Carboplatin 10 mg/ml injections were raised to ₹90.74 per ml from ₹60.49 per ml. According to a pharma executive speaking to Business Standard, their production was affected due to an almost 250 per cent rise in platinum prices, as the metal is the key raw material used in both drugs. The active pharmaceutical ingredient (API) for these drugs is largely derived from platinum, with cisplatin costing about ₹250 to ₹400 per 50 gm while carboplatin costs about ₹1,000 per vial. Because these drugs are price-controlled by the National Pharmaceutical Pricing Authority (NPPA), their retail price often barely covers the surging cost of raw materials, making production financially unviable for manufacturers. The NPPA has emphasized that "while ensuring affordability, access cannot be jeopardised and the life-saving essential drugs must remain available to the general public at all times".
The company has highlighted additional cost pressures including an increase in platinum import duty to 15.4 per cent from 6.4 per cent earlier, as well as the depreciation of the rupee against the US dollar. According to Mint, this crisis has been severely worsened by the sharp increase in the import duty on platinum from 6.4% to 15.4%, alongside the strengthening of the US dollar against the rupee. An executive at a Delhi-based pharmaceutical company said these factors had prompted several manufacturers to cut production volumes, leading to shortages across hospital channels. The company has approached the National Pharmaceutical Pricing Authority (NPPA) seeking a revision in the ceiling prices and urged the government to streamline import approvals and review duties on platinum imports.
The shortage has created significant supply chain disruptions, with Naprod Life Sciences estimating current lead times for fresh orders at more than 90 days. "The current timeline is more than 90 days if any hospital places an order," Jain said. The company noted that "the shortage is there in all markets," suggesting the supply crunch is not confined to India. According to Mint, some drugmakers have completely halted production this month due to the crisis. "The shortage is likely to continue until platinum prices stabilize, import permits are processed faster, and domestic pricing allows sustainable production," said Jain of Naprod. Government hospitals have increasingly been reaching out to manufacturers for supplies through short-term tenders as availability tightens. "We are getting enquiries from government hospitals mainly through short-term tenders," Jain confirmed. Doctors have flagged concerns around hoarding and black-market sales as demand continues to outstrip supply in some regions.
