Supply of Generic Drugs in CGHS
Under the Drugs and Cosmetics Act, 1940 provisions related to manufacture and sale of drugs are administered by the State Drugs Control Authorities appointed by the State Governments. The information in respect of licenses issued by the State Licensing Authorities in each year is not maintained centrally.
Local chemist authorized by Central Government Health Scheme supply the same drugs which are indented by the Wellness Centres. A certain discount is also given by them on the MRP in consonance with the Memorandum of Agreement (MoA) signed by them. Penalties can be imposed on the Authorised Local Chemist for substituting the indented medicines.
This was stated by Shri Ghulam Nabi Azad, Union Minister for Health and Family Welfare in a written reply to the Lok Sabha