Comparative overview of enhancing Drug pricing transparency in India and USA

Abstract

The United States and other different countries, drug prices are out of control. In that the prescription drug prices increasingly the medical costs and other different healthcare costs. The branded drugs are launched with high prices that increase by double percentage over year. So, many states and countries are focusing on new ways or new approaches to drug pricing problems using different ways and clarity about drug price transparency are mainly that the study about drug transparency and identify the cost key drivers. India is one of the world's developing countries. The ability to obtain health-related services at a reasonable cost is a major worry for them. As a result, medical costs are a determining element for health-care facilities, particularly when it comes to price management of health-care institutions with a greater budget. NPPA (National Pharmaceutical Pricing Authority) and DPCO (Department of Pharmaceutical Pricing and Control) are two Indian regulatory bodies that oversee pharmaceutical pricing (Drug Pricing control order). Despite the establishment of the DPCO, significant price fluctuation is observed between goods containing the same API (Active Pharmaceutical Ingredient), and various reasons are responsible for this. TRIPS (Trade Related Intellectual Property Rights) offers Compulsory Licenses for which drugs have a distinctive function to play in the affordability of medicines to minimize the stated problem and govern the trade practice by patent holder/brand maker. Essential medicine is a basic requirement of the health-care system in order to serve its consumers, and as a result, an effective and overt price restriction on drugs is currently required.