What is National Digital Drug Database?

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Topic      pharmaceutical sector industry   

prelims               GS2 mains


What is National Digital Drug Database?

It is a comprehensive, online, centralised drug databank consolidating real time data,on active pharmaceutical manufacturing companies in country, therapeutic class wise/ formulation wise approved branded/ unbranded products along with their manufacturing and marketing entities, may be created and maintained and made accessible to regulators, industry, physicians and consumers.

Benefits: 

  • It will address information asymmetry
  • It will provide important inputs in mapping the regulatory needs in different states
  • Information gaps on grants of licences, inspection and prosecution for non compliance, among others, could be bridged through real time data, that could be published on a central online portal.
Issues: CCI conducted study on pharmaceutical sector:
  • study found that in market brand competition overrides price competition in domestic markets where generic formulation are marketed with distinct brand names.
  • generic drugs plays an important role in bringing down drug prices, thereby reducing health costs and improving access.
  • in India generics dominate pharmaceutical sales, and the generic manufacturing within each molecule/ formulation market is characterised by the presence of multiple manufacturers. 
Competition Commission of India ( CCI) 
It is a fair trade watchdog, which works on ways to foster competition and curb anti-competitive practices in the market. 


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