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New Delhi : The Government has notified N-95 Masks as an essential commodity under Essential Commodities Act, 1955, vide a notification dated March 13, 2020. Thus, hoarding, black-marketing of the essential commodity is punishable offence under the Act. To keep check on the hoarding, black-marketing of the essential commodity, National Pharmaceutical Pricing Authority (NPPA) in exercise of the powers conferred under National Disaster Management Act, 2005, had directed all States/ UT Governments to ensure sufficient availability of surgical and protective Masks, Hand Sanitisers and Gloves at prices not exceeding the Maximum Retail Price printed on the pack size vide orders dated March 13, 2020.
Grievances have been received regarding hoarding, black-marketing and differential higher pricing of N-95 Masks in the country. In this context, NPPA has directed State Drug Controllers (SDCs) /Food & Drug Administrations (FDAs) of all State/ UT Governments to take appropriate actions. As reported, raids have been conducted by few SDCs/ FDAs and appropriate action is being taken against the hoarders and black-marketers of the essential commodity. A PIL has also been filed before High Court of Bombay on the plea of bringing price cap on the N-95 Masks by the Government.
The Government is striving to ensure uninterrupted supply of N-95 Masks in adequate quantity in the country. For this, the Government is procuring largest chunk of the N-95 Masks directly from the manufacturers/ importers/ suppliers at bulk rates. To address the issue of higher prices of the N-95 Masks, NPPA intervened to bring down the prices.
In this regard, in order to ensure availability of N-95 Masks at affordable prices in the country, NPPA issued an Advisory on May 21, 2020, to all the manufacturers/ importers/ suppliers of the N-95 Masks to maintain parity in prices for non-government procurements and to make available the same at reasonable prices. Further, NPPA submitted before the High Court of Bombay on the plea of bringing price cap on the N-95 Masks that looking intoto the mismatch in the demand-supply of N-95 Masks in the country, NPPA has advised manufacturers/ importers/ suppliers to bring down the prices voluntarily.
Meanwhile, NPPA denies the news item appeared in an english daily on May 25, 2020, alleging that NPPA approvingly cited a price that is more than three times the government procurement rate for the masks. The Government procurement rate quoted in the news clipping is fallacious, deceptive and misleading, it said, according to a PIB release.
After issuing such an Advisory, major manufacturers/ importers of N-95 Masks have reduced their prices significantly up to 47% leading to availability of N-95 Masks in the country at affordable prices. As reported by the other manufacturers/ importers of N-95 Masks, it is expected that other manufacturers/ importers will follow the advice of the Government and roll down the prices in the larger public interest.