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Key Definitions in DPCO, 2013

Scheduled Drug:

  • A drug listed in Schedule I of DPCO, derived from the National List of Essential Medicines (NLEM).

  • These drugs are subject to price control.

Non-Scheduled Drug:

  • Drugs that are not listed in Schedule I and are not under price control.

  • NPPA monitors their price increases, which cannot exceed 10% annually.

Ceiling Price:

  • The maximum price at which a scheduled drug can be sold.

Formulation:

  • A medicine prepared in a specific form (tablet, capsule, syrup) containing one or more active pharmaceutical ingredients (APIs).

Bulk Drug:

  • The active ingredient used in the formulation of medicine, without processing into the final product.

Retail Price:

  • The maximum selling price of a formulation (including taxes) set by the manufacturer but regulated under DPCO.

National List of Essential Medicines (NLEM):

  • A list of essential medicines defined by the government based on public health importance and cost-effectiveness.


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