Bengaluru, October 9, 2026 (Yes Punjab News)
The Union government has capped trade margins on cancer medicines at a maximum of 30 per cent, following a report by the Karnataka Health Department highlighting excessive mark-ups on cancer drugs and sustained efforts by state Health Minister U.T. Khader, according to a statement issued by the department on Friday.
Khader had raised concerns over the substantial gap between the production costs and retail prices of cancer medicines, alleging that pharmaceutical companies were imposing excessive mark-ups on essential drugs and medical devices.
About a month ago, he highlighted cases in which medicines costing Rs 86 were being sold for Rs 4,528, drugs costing Rs 160 were priced at Rs 7,110, and medicines costing Rs 118 were being sold for Rs 4,416. He also alleged that cancer medicines and medical devices were being sold at prices 10 to 52 times their cost.
Seeking urgent intervention, Khader wrote to Union Health Minister J.P. Nadda, urging the Centre to take stringent measures against excessive pricing and ensure transparency in the disclosure of landing and selling costs in hospitals.
According to the Karnataka Health Department, the state government’s investigation report and Khader’s efforts were followed by the Centre’s decision to restrict trade margins on cancer medicines to a maximum of 30 per cent.
The move comes amid growing concerns over the affordability of cancer treatment and the high prices of patented medicines.
The department’s statement also referred to recent judicial concerns over medicine pricing. The Kerala High Court had expressed serious concern over the excessive pricing of patented cancer drugs, while the Supreme Court had questioned the Centre over rising medicine prices.
Khader had also advocated granting wider powers to the National Pharmaceutical Pricing Authority (NPPA), which currently regulates the prices of specified medicines. He argued that broader regulatory authority was necessary to strengthen oversight of drug pricing, prevent excessive mark-ups and ensure that patients could access essential cancer medicines at affordable rates.
The Karnataka government’s intervention has renewed attention on the need for greater transparency in pharmaceutical pricing and stronger mechanisms to protect patients from high treatment costs.
The state government has described the Centre’s decision as a significant policy development in efforts to curb excessive trade margins on cancer medicines and improve the affordability of treatment.
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