The Indian government has announced a significant reduction in the prices of cancer drugs following a landmark ruling by the Supreme Court. This decision comes after a retired bank clerk, Sarojam Radhakrishnan, filed a petition in 2022, highlighting the exorbitant costs that have left many patients unable to afford necessary treatments.
Background
In September 2021, Radhakrishnan was diagnosed with breast cancer and prescribed life-saving targeted treatments. However, the monthly cost of over 63,000 rupees (approximately £500) was beyond her family's financial means. Recognizing the plight of many families facing similar challenges, she sought legal intervention to lower drug prices.
Supreme Court Ruling
The case escalated to the Supreme Court, where justices Vikram Nath and Sandeep Mehta described the situation as “carnage” and “extortion.” During a hearing on 29 September, they examined the mark-ups on cancer drugs, revealing that a drug supplied to hospitals at 2,700 rupees was being sold for 27,000 rupees. The court's findings indicated that hospitals, distributors, and chemists were profiting excessively, with an average trade mark-up of 170% on some drugs, and in extreme cases, over 700%.
Government Action
In response to the Supreme Court's findings, the government has imposed a price cap on 137 cancer drugs, which is expected to reduce prices by up to 70%. This measure aims to alleviate the financial burden on cancer patients, potentially saving them 2,500 crore rupees (around £199 million) annually. A statement from the Department of Pharmaceuticals emphasized the importance of this decision for low-income families facing financial ruin due to high treatment costs.
