India's National Pharmaceutical Pricing Authority has capped trade margins at 30% of the maximum retail price on 137 cancer drugs that were not under direct price control, The Hindu and Business Standard reported.

The government expects the move to lower the retail price of the drugs by up to 70%, depending on their current price structures, The Hindu reported, citing a government release. The new prices take effect on November 9, and manufacturers must report their revised prices within seven days of the notice, Business Standard reported.

"The move is aimed at making cancer treatment more affordable, and improve access to anti-cancer medicines," a senior Union government official said, The Hindu reported. An expert committee of cancer doctors, hospital experts and officials picked the drugs, The Hindu reported, also citing the release. A 2019 cap covered 42 cancer drugs, The Hindu reported.

Not everyone expects big savings. "The move alone will not bring down the cost of treatment because hospitals may find ways to charge high prices on other items, consumables, diagnostics, consultation charges, etc," a co-convenor of the Working Group on Access to Medicines and Treatments said, The Hindu reported.

The drug industry welcomed the cap, while patient groups questioned how much it would help, Business Standard reported. A co-convener of the All India Drug Action Network said leaving out free drugs given through patient assistance programs "masks and underestimates the real trade margins," Business Standard reported.

A hospital executive said that if drug margins fall without addressing other costs, hospitals would have to recover the money elsewhere, Business Standard reported. The drugs can still see yearly price increases of up to 10%, Business Standard reported.

What we know: India has capped trade margins on 137 cancer drugs at 30% of the retail price, with new prices due on November 9.
What we don't: How much patients will actually save once hospital charges for care and other items are counted.