Bharat Biotech demands a higher price for the vaccine from Centre

Rupees 150 per dose not sustainable: Bharat Biotech demands a higher price for the vaccine from Centre

Bharat Biotech, Hyderabad based Covid-19 vaccine maker on Tuesday said that the supply of its vaccine Covaxin to the Central Government at rupees 150 per dose is not sustainable in long run. Bharat Biotech stated that The Centre's supplying price is pushing the pricing structure for the private sector upward, it added that "Fundamental business reasons ranging from low procurement volumes, high distribution costs and retail margins among few others contribute to higher pricing of Covaxin.

According to the statement "The supply price of Covaxin to the Government of India at rupees 150 per dose is non - competitive price and clearly not sustainable in long run. Hence, a higher price in private markets is required to offset part of the cost". It also said that, vaccine pricing depends on numerous factors:  At the outset, one must remember that the pricing of vaccines and other Pharmaceutical products heavily relies on a series of factors, the cost of the goods and raw materials, product failures, at-risk product development outlays, product overages, the entire capital expenditure for setting up sufficient manufacturing facilities, sales and distribution expenses, procurement volumes and commitment besides other regular business expenditure. " adding that they said, Bharat Biotech has so far invested rupees 500 carore at risk from its own resources for product development, clinical trials and setting up manufacturing facilities for covaxin.

Meanwhile, Covid-19 cases are declining in the Country whereas vaccination drive is also taking place across the country. 

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