Cover Story : Medical Plastics Data Service

Medical Plastic Data Service Magazine

A TECHNO-ECONOMIC NEWS MAGAZINE FOR MEDICAL PLASTICS AND PHARMACEUTICAL INDUSTRY

Cover Story

Excessive MRP’s Stiffling India’s Mfg Growth

Rajiv Nath,
Forum Coordinator,
Association of Indian Medical
Device Industry (AiMeD)

THE PROBLEM

Why Indian Medical Devices With Lower Ex-Fcy Prices Are Not Competitive ?

FOR MEDICAL DEVICES NOT NOTIFIED AS DRUGS

- Tax Based Disincentive

- 1% GST Cess on MRP

- Discourage Artificial Inflation

FOR MEDICAL DEVICES NOTIFIED AS DRUGS

RATIONALIZE TRADE MARKUPs Over 1st POINT OF SALE & The MRP (When GST Applied 1st Time When Overseas or Indian Manufactured Goods Enter Supply Chain)

What’s Difference between Trade Mark Up & Margin ?

ATTEMPTING RATIONALITY

Mark Up: is % Profit over buying value

(MRP - Ex-Factory Sale Value) X 100

Ex-Factory Sale Value

Margin: is % Profit on Selling Price

(MRP-Ex-Factory Sale Value) X 100

MRP

Capping Markup between Ex fcy / Landed & MRP

List Of Notified Medical Devices

No.	Name of Device	Transaction	<100	1000-1.00 Lac	1.00 Lac Plus
1	Disposable Hypodermic Syringes	B2C	X4	-	-
2	Disposable Hypodermic Needles	B2C	X4	-	-
3	Disposable Perfusion sets	B2C	X4	-	-
4	IV Cannula	B2C	X4	-	-
5	Scalp Vein Set	B2C	X4	-	-
6	Intra Ocular Lenses	B2C	X4	X3	-
7	Surgical Dessing	B2C	X4	X3	-
8	Umbilical Tapes / Ligatures / Sutures and Staplers	B2B2C	X4	X3	-
9	Catheters	B2C	X4	X3	-
10	Internal Prosthetic Replacements	B2C	-	X3	X2
11	Orthopaedic Implants	B2C	X6	X4	X2
12	Bone Cement	B2C	X6	X4	X2
13	Heart Valves	B2C	-	X3	X2
14	Blood / Blood Components	B2B	X4	-	-
15	Blood Grouping Sera	B2B	X4(?)	-	-
16	In Vitro Diagnostic Devices for HIV HBsAg and HCV	B2B	X4(?)	-	-
17	Cardiac Stents	B2C	-	Capped	-
18	Drug Eluting Stents	B2C	-	Capped	-
19	Intra Uterine Devices (Cu-T)	B2C	Capped	-	-
20	Condoms	B2C	Capped	-	-
21	Tubal Rings	B2C	?	?	?
22	Ablation Devices	?	?	?	?