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New Indian Express
11-05-2025
- Health
- New Indian Express
Andhra government to set up Jan Aushadhi shops at all GGHs to curb overpricing on drugs
VIJAYAWADA: The State health department has decided to set up Jan Aushadhi shops at all Government General Hospitals (GGHs) to provide affordable generic medicines and curb excessive pricing by private drug retailers. Health Minister Y Satya Kumar Yadav approved the initiative following a review of existing private medical stores operating at 16 GGHs. Currently, 23 private stores operate in these hospitals, while Nandyal GGH has none. These stores have been flagged for charging profit margins ranging from 50% to 600% on certain drugs, officials said. The proposed Jan Aushadi outlets will be run by the Indian Red Cross Society under the Pradhan Mantri Bharatiya Jan Aushadi Pariyojana (PM-BJAP). The scheme mandates a maximum profit margin of 15%, aiming to prevent price exploitation. Sales will be monitored using software developed by the Department of Pharmaceuticals to ensure pricing transparency. Officials highlighted that many private stores currently operate under the guise of self-help groups or cooperative societies but exploit pricing loopholes, sell branded drugs without prescriptions, and stock only 30% to 40% of essential generic medicines. Jan Aushadhi shops will primarily stock generic drugs, with exceptions for branded medicines permitted only with prior approval and when generic alternatives are unavailable. Minister Yadav has also directed health officials to assess the feasibility of expanding Jan Aushadhi outlets to District and Area Hospitals, given the higher patient footfall in these facilities. District Collectors, who head local Red Cross branches, will oversee the rollout and functioning of these stores to ensure accountability and better patient service, officials added.
Hans India
11-05-2025
- Health
- Hans India
Jan Aushadi shops to come up at all govt General Hospitals in AP
Vijayawada: The Andhra Pradesh Health Ministry has decided to introduce 'Jan Aushadi' shops at all the Government General Hospitals (GGH) to ensure availability of required quality generic medicines at affordable prices to a large number of patients visiting government hospitals. Health Minister Satya Kumar Yadav approved a proposal in this regard for operating Jan Aushadi shops at all the 17 Government General Hospitals (GGHs). The Minister also directed the officials to explore the possibility of running such shops at district and area hospitals also in the state. This decision has been taken in the context of present operators of generic medical shops at GGHs charging a profit margin of 50 per cent to a high of 600 per cent in some cases. At present, 23 private generic medicine stores are running at 16 GGH while Nandyal GGH has no such store. Indian Red Cross Society, a reputed no-profit organization, will set up and operate these Jan Aushadi shops as per the approval. Deficiencies in the present system Generic medicine retailers currently operating at 16 GGHs are taking advantage of the loopholes in the manufacturing and pricing of generic drugs and inadequate controls and are exploiting the patients. The manufacturers of generic medicines are printing very high MRPs (maximum retail price) against which the retailers are offering different discounts at different places on different medicines and in the process, making huge profits in the range of 50 per cent to 600 per cent. Also, they are making available only about 30 per cent to 40 per cent of generic drugs required and supplying costly branded drugs for the rest. While the present 23 generic shops have been allocated to self-help groups and other societies, private persons are reported to be running them with an aim to make huge profits. Jan Aushadi benefits To address the deficiencies in the present system, central government has introduced 'Pradhan Mantri- Bharatiya Jan Aushadi Pariyojana' (PM-BJP) to enable supply of quality generic drugs at affordable prices to the patients across the country. Under this scheme, Department of Pharmaceuticals of Govt. of India procures generic drugs with standard MRP printed for supplying to Jan Aushadi shops which in turn sell them with only 15 per cent profit margin, thus benefitting patients. Every sale is to be recorded on the special software developed by the central government which prevents malpractices since the retailers can't manipulate selling prices of generic medicines. In addition, Jan Aushadi shops will not sell costly branded drugs except in very rare cases. While approving the proposal for introduction of Jan Aushadi shops at GGHs in the state, Minister Satya Kumar Yadav on Saturday directed the officials to examine the possibility of their operation at Area and District Hospitals as well given the advantages to patients.
