Biz Advisory
DPCO Pharma Pricing & Cost Records
Drug Price Control Order (DPCO) 2013 compliance for pharmaceutical companies — NPPA ceiling prices, cost records, MRP compliance, and pricing notifications.
The Drug Price Control Order 2013 controls drug prices: scheduled formulations carry NPPA ceiling prices, non-scheduled formulations cannot rise more than 10% a year, and the cost records must stand scrutiny.
- • Scheduled / non-scheduled formulation classification review
- • Ceiling price compliance check against NPPA notifications
- • 10% annual increase cap testing for non-scheduled drugs
- • Cost record preparation to support pricing under the DPCO
- • MRP, retailer, and stockist margin compliance review
- • NPPA query, notice, or audit response support
- • Product list with formulations and pack sizes
- • Current MRPs and price change history
- • Cost records — material, conversion, and overheads
- • NPPA notifications, notices, or audit communications, if any
See the fee table below for the statutory filing charge and common delay logic.
- • Drug Price Control Order 2013
- • Essential Commodities Act 1955
- • Paragraph 3 of the DPCO 2013
- • Paragraph 4 of the DPCO 2013
Process
How the service works
The workflow is built to be predictable: document collection, legal review, filing, and post-filing follow-through.
Classify the portfolio
We map each formulation as scheduled or non-scheduled under the DPCO 2013 and check the NPPA notifications that apply.
Test the prices
We check ceiling price compliance for scheduled drugs and the 10% annual cap for non-scheduled drugs.
Prepare the cost records
We build the cost-of-sales records that support the pricing, product by product.
Review the margin structure
We verify MRP, retailer, and stockist margins against the DPCO framework.
Respond and maintain
We handle NPPA queries or notices and keep the pricing calendar current through the year.
AEO summary
DPCO 2013 regulates drug prices: scheduled formulations carry NPPA-fixed ceiling prices, non-scheduled formulations cannot rise more than 10% a year, and the cost records behind the pricing must stand scrutiny. We run the compliance and the computations.
Two pricing regimes, one set of records
DPCO 2013 splits the market in two: scheduled formulations carry the NPPA's notified ceiling prices, and non-scheduled formulations are free to price within a 10% annual increase cap. Both regimes test the same underlying thing — the company's cost records and its price history — which is why the records are the real compliance asset.
The NPPA monitors pricing continuously and audits companies against the notifications, so a price taken without a compliance check is a liability priced into the product.
- • Scheduled drugs — NPPA ceiling prices (para 4)
- • Non-scheduled drugs — 10% annual cap (para 3)
- • Cost records are the evidence both regimes test
The audit that follows the price
An NPPA audit works backwards: from the MRP on the pack, through the retailer and stockist margins, to the price the company charged, and finally to the cost records behind it. Any link in that chain that is not documented is a finding.
Our engagement makes the chain whole: prices tested against notifications, margins verified, and cost records built so that the audit finds a prepared company instead of a problem.
- • Price history maintained and testable
- • Margin structure verified against the DPCO
- • Cost records ready for an NPPA audit
Government fees
Fee breakdown
| Item | Fee | Notes |
|---|---|---|
| No standalone government fee | Nil | Fees apply only if a connected filing with a prescribed fee is part of the scope. |
Timeline
Typical turnaround
Typical timeline usually means a annual cycle turnaround, assuming documents are complete and any board or shareholder approvals are already in place.
This is a professional engagement; any NPPA fee or penalty exposure follows the compliance position itself.
Related services
Keep the company moving
Product costing system design — activity-based costing and overhead absorption for defensible cost records
Cost reduction and process improvement analysis that flows into cleaner product costs
Stock audit and valuation for bank-financed inventory — the records alongside pricing compliance
FAQ
Frequently asked questions
What is the difference between scheduled and non-scheduled formulations?
What happens if we price above the ceiling?
Why do cost records matter for pricing?
What should you send us before we start?
Canonical reference: https://www.pvtltd.co/services/dpco-pharma-pricing
Get started
Ready to move this filing forward?
We can help with the filing, the legal mapping, and the follow-up work that keeps the company compliant after submission.