The Ministry of Chemicals and Fertilizers (MoCF) on February 06, 2026, issued the notification regarding the Prices of Branded Medicines.
The following has been stated namely: -
• The National Pharmaceutical Pricing Authority (NPPA) fixes ceiling prices for essential medicines listed in Schedule-I (NLEM-based) and retail prices of new drugs using a market-based pricing formula with a 16% retailer margin.
• For non-scheduled drugs, MRP increase is capped at 10% in 12 months, prices of all drugs are monitored and overcharging attracts action under DPCO, 2013.
• Doctors are required to prescribe medicines by generic name under medical ethics regulations, enforcement is through State Medical Councils / NMC, with mandatory generic prescribing in Central Government hospitals and CGHS facilities.
• All formulations must display MRP (inclusive of taxes) on labels, 603 human drugs/FDCs and 40 veterinary drugs are banned, and their manufacture or sale is a punishable offence under the Drugs & Cosmetics Act, 1940, enforced by State Drug Authorities.
[Notification No. 2224372]
