A Maharashtra government survey has highlighted a major gap between the procurement prices of medical consumables and the prices at which they are billed to patients. Maharashtra Food and Drug Administration Commissioner Tukaram Mundhe has now sought central intervention after the survey found markups running into thousands of per cent on commonly used hospital products.
The findings have raised questions about pricing transparency and the regulatory framework governing medical devices and hospital consumables.
IV Set Shows 2,841% Markup
One of the most striking examples cited by Mundhe is an intravenous infusion set. According to the Maharashtra FDA survey, a private hospital purchased the IV set for Rs 11.05, while the product carried an MRP of Rs 325.
The difference represents a markup of about 2,841% over the trade price.
Other products also showed substantial gaps. A 10 ml syringe purchased for Rs 6.75 had an MRP of Rs 57.20. A catheter procured for Rs 29.41 carried an MRP of Rs 310.
The survey covered medical devices and consumables used in inpatient departments, including IV sets, syringes, nebuliser and oxygen-mask kits and catheters.
Patients Have Limited Choice During Treatment
The issue becomes particularly significant because medical consumables are often used during hospitalisation without patients having the opportunity to compare prices.
Unlike routine purchases, patients generally cannot shop around for a cheaper IV set or catheter while receiving treatment. The cost may only become apparent when they receive the final itemised hospital bill.
Mundhe has argued that this creates an information gap, with patients bearing the cost while having limited information about the actual procurement price of the products being used.
Mundhe Seeks Pricing Review
Following the findings, Mundhe has recommended a review by the Department of Pharmaceuticals and the National Pharmaceutical Pricing Authority.
The proposal includes establishing clearer guidelines on the permissible difference between a hospital’s procurement price and the declared MRP. The Maharashtra FDA has also sought consideration of trade-margin controls or structured price monitoring for essential medical devices and consumables.
The objective is not necessarily to eliminate margins for manufacturers, distributors or hospitals. Instead, the proposal focuses on creating a more transparent and regulated pricing system.
Regulatory Gap Comes Under Focus
Medicines and certain medical devices are subject to price-control mechanisms under the Drugs (Prices Control) Order, 2013. However, not every medical device or hospital consumable is subject to a uniform ceiling price.
This difference in regulation has brought greater attention to how prices are determined across the medical-device supply chain.
The National Pharmaceutical Pricing Authority is expected to examine the findings and consider whether additional monitoring or pricing measures are required.
What It Could Mean for Hospital Bills
The Maharashtra FDA findings could lead to a broader discussion about transparency in hospital billing and the pricing of medical consumables.
If clearer pricing rules are introduced, patients could have greater visibility into the costs of products used during treatment. For now, the survey has put the spotlight on a part of hospital bills that patients often have little ability to question before or during medical care.