Legal News and Insight around the Globe!

SC ordered Central govt to clarify the pricing basis for Covid vaccine

Vaccine Law Insider

Kriti Agrawal

The Supreme Court ordered the Central Government on Tuesday to specify the basis and reasoning for pricing covid-19 vaccines in the country.

A Bench of Justice DR Chandrachud, Justice L Nageswara Rao, and Justice Ravindra Bhat observed that different vaccine manufacturers were quoting different prices for their vaccines at a time when the country was in the grip of a national crisis.

As a result, it verbally urged the Central Government to consider whether it was possible to invoke provisions of the Patent Act to control the prices of covid vaccines if necessary.

Justice Bhat said, “Regarding pricing on vaccination different manufacturers is quoting in different prices. There are powers under Patent’s act. This is a pandemic and a national crisis.”

In its order, the Court asked the Centre to explain the grounds for pricing, as well as to include information on the modalities placed in place to meet vaccine shortages when vaccination is extended to all adults over the age of 18.

The Court said, “Union shall clarify the projected requirements of vaccine due to enhancement of coverage. Modality to be put in place to ensure that shortage and deficit would be looked into. Centre to clarify basis and rationale for pricing of vaccine.”

Supreme Court issued the following directives to the Central Government:

  • The central government should inform the Court about the complete availability of oxygen. The government should reveal the expected demand for oxygen now and in the future, the measures taken to ensure augmentation, the monitoring mechanism to ensure supply to affected states, state share from the central pool, methodology for same, and so on.
  • Steps to be shown that are being taken to ensure the availability of drugs such as Remdesivir and others;
  • Covishield and covaxin are now available. Vaccination is only restricted to people aged 45 and over, but at the beginning of May, vaccination will be available to people of all ages over the age of 18. The Union would explain the anticipated vaccine standards as a result of increased coverage.
  • A mechanism will be put in place to ensure that shortages and deficits were addressed. The Center will explain the basis and reasoning for vaccine pricing.
  • A comprehensive group of experts should be made available to citizens in order for them to know what precautions to take during the pandemic. The Centre will inform the measures that have been taken to establish an identified panel of experts, which will be repeated at all state levels.