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Drug Price Control Order (DPCO) Act

Drug Price Control Order (DPCO) Act- DPCO is an act or an order issued by the government under the “Essential Commodities Act” which enables it to fix the prices of some essential bulk drugs and their formulations. It basically ensures the availability of essential and life-saving medicines must be at decent prices. This order is released in the 1970s by the government by they placed limits on the profitability of pharmaceutical companies which will further help in enhancing the cost-effective production with economic sizes. It is one of the most essential orders for the health of society or to regulate the pharma industry in the right direction.

Drug Price Control Order (DPCO) Act

What are the Objectives of the Drug Policy or DPCO Act?

This act is issued by the government as per the Modifications in Drug Policy. There are certain objectives for regulating the DPCO Act in the pharma industry. We at Arlak Biotech have analyzed and listed the topmost objectives for continuing the Drug policy. Also,  as per the provisions of DPCO, NPPA fixes the Ceiling price for medicines in the controlled category. Listed are the foremost objectives for realizing the DPCO Act. 

  • It ensures the availability of medicines and drugs in the market.
  • It controls the rates of essential and life-saving medicines and makes sure to release them at reasonable prices.
  • Drug Policy’s main objective is to provide a good quality of medicines.
  • This act and policy ensure and strengthen the system of quality control over drug production.
  • It promotes the rational use of drugs in the country.
  • Helps in encouraging cost-effective production with economic sizes.
  • Effective for introducing new technologies and new drugs in the market. 
  • Strengthens the capability for the production of drugs.

Important Information that must be printed on the Label of the Medicine Pack Under the DPCO Act 2013

According to the DPCO Act, there are certain rules and regulations that must be followed to ensure the original drug and medicines. Listed are the most common thing that must be printed on a pack of medicine under the Drugs and Cosmetics Act and DPCO, 2013. So, all the companies have to follow the listed regulation to make sure to sell their medicines in the Indian pharma market. 

  • Name of the drug formulation
  • Composition of medicines
  • Pack Size of drugs
  • Address of manufacturer of medicines
  • License Number of Manufacturers
  • Date of manufacturing on a pack of medicines
  • Expiry Date along with manufacturing date on medicine
  • Maximum Retail Price (inclusive of all taxes) etc.

What if the manufacturer sells a medicine above the price approved by the Government under the DPCO Act?

If in case the company is selling the medicine by violating the rules and regulation authorized by the DPCO then he is liable to be recovered along with interest thereon from the date of overcharging. The recovery of overcharging over the medicine is done under the act of the Public Demand Recovery Act. Also, Charging more than printed MRP of medicine attracts the penal provisions of Drugs Price Control Order, 2013. Thus, it is compulsory to sell drugs under the DPCO Act for the controlled formulations, and the retail price is the price fixed by the Government for a new drug under paragraph 5 of Drugs (Prices Control) Order, 2013.

We at Arlak Biotech manufacturers all the medicines and drugs under the DPCO Act. 


We hope that we at Arlak Biotech have provided you the relevant information that you are looking for. All the above mentioned is the information that justifies and states the DPCO Act. It is one of the most effective and powerful ways to control the Indian Pharmaceutical Industry. Drugs are essential for the health of society. Drugs have been declared as Essential and accordingly put under the Essential Commodities Act. Thus, with the enforcement of this law and Order, we are able to monitor the prices of controlled and decontrolled drugs in the country. For more information and details you can feel free to contact Arlak Biotech and know more about us, our products, and franchise requirements. Our company is always there to guide and support you with any information regarding the pharma industry. For more information and details get in contact with us on the listed contact details.

Name- Arlak Bitech

Contact No.- +91-9803023099, 769626336



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