An analysis by the National Pharmaceutical Pricing Authority (NPPA) shows that importers, distributors and hospitals are earning hefty trade margins that can range from 67% to as high as 449%. After capping prices of cardiac stents, the next in line can be knee implants to make it more affordable and accessible.
The analysis shows that in case of an “insert” — used to replace a damaged bone or cartilage in knee replacement surgery — the average total trade margin is 449%, whereas that on the “total knee system” is 313%.
The data shows distributors and hospitals earning the maximum margin from 120% to 163%, whereas importers also keep a significant share of the trade margin, ranging between 29% and 109%, depending on the product.
