Essential medicines to manage health conditions like diabetes and treat cancer and other ailments like heart disease, bacterial infections, etc, will reportedly get costlier after 1 April. The hike in medicines price will likely to take place as part of the annual price rice of drugs listed in the National List of Essential Medicines (NLEM) based on WPI.
The prices of controlled category medicine in the NLEM will surge nearly 1.7% in the upcoming financial year 2025-26, reported Business Today. So far, there has been no official confirmation by the government.

"Based on the Wholesale Price Index (WPI) data provided by the office of the Economic Advisor, Department of Industry and Internal Trade, Ministry of Commerce and Industry, the annual change in WPI works out as (+)1.74028% during the calendar year 2024 over the corresponding period in 2023," stated National Pharmaceutical Pricing Authority in its notice dated 26 March, 2025.
The agency also added that manufacturers can increase the maximum retail price (MRP) of medicines without prior approval by the government.
"As per provisions of Paragraph 16(2) of Drug Price Control Order (DPCO) 2013, the manufacturers may increase the Maximum Retail Price (MRP) of scheduled formulations based on this WPI and no prior approval of the Government in this regard shall be required," the notice added.
Which medicine will get expensive?
According to Business Today report, prices of essential medicines like cancer, diabetes, heart conditions and antibiotics are likely to increase by 1.7%. However, the medicine price hike is unlikely to impact customers in April as drugmakers and pharmaceutical shops normally maintain a stock of one to two months.
Medicine prices regulated in India are expected to rise. Costs for essential medications such as those used to treat cancer, diabetes, heart conditions, and Antibiotics are projected to increase.
The National List of Essential Medicines includes a range of medicines, from medicines used in anaesthesia to antidotes. The list also mentioned different types of drugs used for treating and managing infections, neurological disorders, palliative care, cardiovascular diseases, antiseptics, diuretics, gastrointestinal disease, respiratory tract, etc.
The recent surge in medicine prices is significantly higher compared to previous year's medicine price hike. In FY25, there was a 0.0055 per cent increase in the price of essential medicines, which erupted objections from pharmaceutical industry representatives. Most of the industry stakeholders had expressed concerns about rising input costs over the recent years.
About NLEM
The medicines included in NLEM are approved by the Drugs Controller General of India. The list of essential medicines is updated regularly. Its latest version, released in 2022, includes nearly 384 drugs with additions of 34 new medicines and removal of existing 26 formulas. The list includes essential medicines used to manage diseases of public health importance, guiding healthcare delivery by ensuring affordable and quality medicines.
The first list of NLEM of India was created in 1996. Generally, the list is prepared based on the efficacy, safety and cost-effectiveness of the medicines. According to The Hindu's report, medical inflation stood at 14% in 2023, which was significantly higher than the general inflation in the country.
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