Government Opens Door for Global Drug Procurement
The Indian government is actively considering a significant policy shift that would allow global tenders for a wide range of patented medicines, marking a crucial step toward ensuring access to essential treatments for millions of citizens. This strategic move aims to support procurement for central healthcare agencies including the armed forces' medical services and the Employees' State Insurance Corporation (ESIS).
The initiative specifically targets essential treatments that are either not manufactured in India or available only in limited quantities, addressing critical gaps in the country's healthcare infrastructure. According to reports, this plan has been under serious consideration by government authorities seeking to balance domestic industry protection with patient welfare needs.
Comprehensive List of Medicines Under Review
The proposed list features over 65 patented and proprietary formulations spanning multiple therapeutic areas where local manufacturing capacity remains insufficient. Among the notable inclusions are breakthrough medications like semaglutide and tirzepatide for obesity and type-2 diabetes, along with evolocumab, used to treat high cholesterol in diabetic patients.
This extensive compilation underscores the government's recognition of areas where India's pharmaceutical manufacturing capabilities need reinforcement. The inclusion of these specific drugs highlights the growing demand for advanced treatments that address modern health challenges, particularly in metabolic disorders and chronic conditions.
Policy Exemptions and Industry Response
Current procurement regulations typically restrict global tenders for purchases valued below Rs 200 crore to support domestic industry. However, the framework allows for exceptions when local supply falls short or urgent public demand arises. The government has already demonstrated flexibility by waiving this restriction for 128 medicines and vaccines until March 2027 or until further orders are issued.
The fresh proposals would significantly expand these exemptions, creating a more comprehensive safety net for essential drug access. According to a notice issued on November 21, the Department of Pharmaceuticals has received formal submissions from the Directorate General of Armed Forces Medical Services and the Indian Council of Medical Research requesting these drugs be added to the global tender exemption list.
The regulatory process includes provisions for domestic manufacturers to voice concerns. The DoP has asked Indian pharmaceutical companies to file objections by December 5, specifically addressing whether these medicines can be produced locally. This balanced approach ensures domestic industry perspectives are considered while prioritizing patient needs.
Agencies such as ESIS and DGAFMS have separately sought nine particular formulations, and vaccines also form part of the comprehensive list under consideration. People familiar with the matter indicate that the DoP, together with the health and finance ministries, has been deliberating on this issue for some time.
Once a final decision is reached, the Department of Expenditure will release the official tender notification. As one senior official emphasized, 'The ultimate beneficiary will be the patient for they will have timely access to critical treatments.' This patient-centric approach reflects the government's commitment to healthcare accessibility while navigating complex pharmaceutical policy landscapes.
