Knee implants price capped
The government on Wednesday capped prices of knee implants at a significantly lower rate than current market rates, a move that could result in savings of `1,500 crore annually to patients requiring surgery. The National Pharmaceutical Pricing Authority has capped the price of widely used Cromium Cobalt knee implants at `54,720.
New Delhi, Aug. 16: After cardiac stents, the government on Wednesday fixed a price range for knee implants from `54,000 to `1.14 lakh, nearly 70 per cent lower than most surgeries currently cost.
With private hospitals reportedly charging exorbitant rates, the government capped the maximum retail price of the keen implants, a move that will save patients an estimated `1,500 crore annually.
“Government will not remain a mute spectator and will not allow this illegal and unethical profiteering,” chemicals and fertilisers minister Ananth Kumar told a news briefing.
The price in case of specialised implants for cancer and tumour has been sharply cut to `1,13,950 from the current prices of `4-9 lakh.
There are 1.5 crore to 2 crore patients who require knee implants surgery. Every year 1.2 lakh to 1.5 lakh knee surgeries takes place in India, according to the government.
It is estimated by World Health Organization (WHO) that by 2020, osteoarthritis is going to be the fourth largest cause of immobility in globally, Mr Kumar informed.
The government had in February slashed the maximum price of lifesaving heart stents implants by up to 85 per cent by capping them at `7,260 for bare metal ones and `29,600 for drug eluting variety.
Earlier, the average maximum retail price for BMS was `45,000 and for DES, it was `1.21 lakh.
Mr Kumar said the decision comes a day after Prime Minister Narendra Modi announced from the Red Fort on the Independence Day that prices of knee surgery would be brought down.
Earlier this month, the National Pharmaceutical Pricing Authority had stated that the average trade margin on orthopaedic knee implants were found to be as high as 313 per cent.
Asked whether industry would be able to recover their costs under the new prices, the minister said: “The MRP has been fixed after taking into account the landed cost and there will be comfortable margins for the industry.”
Reacting to the development, medical device industry body MTaI said MTaI is reviewing the order from NPPA.
Under the new price regime, the MRP of most widely used complete knee implant (CobaltChromium) has been fixed at `54,720 plus GST, a reduction of 65 per cent from earlier average MRP of `1,58,324. This particular type of knee implant has around 80 per cent market share.
The new MRP of special metal titanium and oxidised zirconium has been fixed at `76,600 plus GST, down 69 per cent.
High flexibility implant will now cost `56,490 plus GST, down 69 per cent from average MRP of `1,81,728 earlier.
Special metal and high flexibility knee implants account for another 17 per cent of the market.
Revision implants for second surgery, which patients normally need after 10 years, will now cost `1,13,950 plus, lower by 59 per cent from average MRP of `2,76,869.