After DCGI Notices, Epharmacies Want Health Ministry To Hear Their Stance

Following the issuance of show-cause notices by the Drug Controller General of India (DCGI) to epharmacies, including Tata 1mg, Amazon, and Flipkart, more than a dozen online pharmacies are reportedly seeking an audience with the officials of the Ministry of Health to explain their position.

While multiple communications have been sent by the representatives of epharmacies requesting an audience with the health ministry on the issue, they have not received any response, ET reported.

“There is an impasse between the government and industry on several matters. The government has done its own analysis of the sector and its business model, and companies are looking to have conversations,” sources said as quoted by ET.

In February, the DCGI sent show-cause notices to 20 epharmacies for selling and distributing drugs in contravention of provisions of the Drugs and Cosmetics Act, 1940.

The companies were asked to explain why action should not be taken against them for violating the rules.

After receiving the notices, the epharmacies reached out to the government through industry associations to explain their positions. In addition, the companies which received notices also responded to the charges that they were operating without a requisite licence, the report said.

Earlier this week, it was reported that the Centre was looking at banning online pharmacies over concerns about misuse of user data.

A Group of Ministers (GoM) has advocated shutting such platforms over alleged malpractices in the sector and concerns about data privacy, predatory pricing and sale of medicines without any prescriptions.

Last year, the government also came out with the draft New Drugs, Medical Devices and Cosmetics Bill, 2022, which brought epharmacies under its ambit.

As per Section 41(2) of the draft Bill, online pharmacies will have to acquire a licence to continue operating as usual. It also includes suggestions for regulating epharmacies. Online pharmacies would also not be permitted to sell medical devices without a licence if the Bill is passed into law.

However, the health ministry is currently working on the revised draft of the Bill and seeking inputs from other departments as well, the ET report said. The draft regulations are being circulated for internal consultations currently.

Under the revised draft, the government is looking to include a clause to “regulate, restrict or prohibit” any sale, stocking or distribution of any drug by online mode, by issuing a notification.

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