In a latest notification, the National Pharmaceutical Pricing Authority (NPPA) has presented its idea to re-fix the price of condoms as condoms have been part of the National List of Essential Medicines from 2003.
Business Standard reports that The National Pharmaceutical Pricing Authority has decided to set a fix price for for basic utility condoms and the other for pleasure condoms. In a view to implement their idea, the authority has asked the manufactures to submit the details of the product along with “supporting documents like invoices to retailer and samples of August 2015”.
As per the NPPA price capping rule, condoms comes under the Schedule 1 of the Drug Price Control Order of 2012, after which NPPA could cap its price.
Earlier, the NPPA’s decision to cap the price of condom was challenged by companies at the high court level over the procedure. Reckitt Benckiser and JK Ansell challenged two NPPA orders and contended condoms were not drugs, but devices, and could not be included in the DPCO of 2013. Over the Reckitt Benckiser and JK pleam Delhi High court ruled the argument in favour of two pharma companies, Reckitt Benckiser and J K Ansell Ltd (JKAL), for their plea to remove the price ceiling for condom. The two companies had put forward their legal plea to contend that their products were ‘devices’ and not ‘medicines’ and thus would not fall under the DPCO and hence, no cap can be put on their prices.
According to NPPA’s order in November 5, 2013, initially capped condom prices at Rs 6.56 each and this was later increased to Rs 8.04 by its July 10, 2014, notification, reports BS
Pointing towards the condom manufacturing companies and their profit margins in the market, NPPA has presented the data of these companies as, Skore Condoms, distributed by Chennai-based TTK Healthcare has a market share of around 10 per cent. Mankind Pharmais reported to have been the leader, with its Manforce brand having a market share of around 32 per cent. Moods condoms hace 16-17 per cent, Durex has two to three per cent and Kohinoor seven to eight per cent.