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India's wealth-based pricing scheme leverages compulsory licensing threat

This article was originally published in Scrip

Executive Summary

A government panel recommendation that Indian reimbursement negotiations for patented drugs should start with reference pricing could indirectly avoid or reduce the need for compulsory licensing. However, initial analysis of the proposed mechanism would still leave Indian prices at least an order of magnitude lower than those in the ‘cheapest’ European nations. In addition, early feedback from industry sources in India indicates that they believe the approach could be fraught with implementation complexities and transparency issues.

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