GST New Rates: The government has provided significant relief to pharmaceutical companies. New GST rates are set to take effect from September 22. The Modi government has provided considerable relief to the general public. From this date, the reduced rates under the GST Reforms will be implemented. From this day forward, most food items will become cheaper. A question arises in the minds of the people about whether the companies will have to reduce the MRP of the medicines that have already been made or not. The government has responded to this matter, stating whether the MRP of medicines manufactured before 22 September will be revised or not.
MRP of medicines will change from 22 September
The government has completely alleviated the confusion of the people by providing answers. According to the government, the National Pharmaceutical Pricing Authority has clarified that all manufacturers and marketing companies selling medicines will have to revise the maximum retail price of medicines/drugs (including medical devices).
The NPPA office said, “All manufacturers/marketing companies selling medicines/formulations shall revise the maximum retail price of the medicines. Manufacturers/marketing companies, dealers and retailers shall also issue revised price lists or supplementary price lists to the state drug controllers and the government, containing revised GST and revised MRP.”
Affiliated with AIOCD, the Delhi-based Retail Distribution Chemists Alliance has announced that, with the implementation of the new GST 2.0 system from September 22, the prices of medicines are expected to decrease significantly in Delhi and other parts of India.
New GST Rates on Medicine
Life-saving drugs (eg, HIV/AIDS, TB, cancer) 5%
Most prescription drugs 5%
Vitamins, supplements and over-the-counter (OTC) products 18%