Over 54% reduction in oxygen concentrators cost after trade margin capping

Over 54% reduction in oxygen concentrators cost after trade margin capping

National Pharmaceutical Pricing Authority (NPPA) released a notification on 3rdJune for capping the Trade Margin of Oxygen Concentrators at 70% on Price to Distributor level. Move was initiated after public demand and several complaints of exorbitant pricing which affected family members of corona patients.

PIB press release has reported a total of 104 manufacturers or importers of Oxygen Concentrators submitting revised MRP for 252 products. According to report, Downward revision in price up to of 54% has been reported in 70 products/brands, showing reduction in MRP up to Rs. 54,337 per unit. Further, 58 brands have reported price reduction up to 25% and 11 brands between 26-50%. Out of 252 products/brands reported, 18 products/brands reported by the domestic manufacturers did not show any decline in prices. Thus, Trade Margin Rationalisation (TMR) for Oxygen Concentrators has resulted in ensuring consumer savings by eliminating unreasonable profit margins in imported products.

Reduction of MRPs have been reported in following categories:

  • Portable-5LPM (19 out of 80 products)
  • Portable-10LPM (7 out of 32 products)
  • Stationary-5LPM (19 out of 46 products)
  • Stationary-10LPM (13 out of 27 products)

The revised MRP is effective from 9th June 2021 on all the brands and specifications have been shared with the State Drug Controllers for strict monitoring and enforcement. The relevant instructions are available on NPPA’s website (

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