Thiruvananthapuram, 10 Oct (H.S.):The Kerala Medical Services Corporation (KMSCL) has secured substantial reductions in the procurement prices of insulin and other essential medicines through direct negotiations with manufacturers, helping address shortages and reduce government expenditure.

The initiative follows reports of insulin shortages in government hospitals. Health Minister K. Muraleedharan directed officials to approach manufacturers directly, bypassing agencies involved in supplying the medicine.

Under the negotiated arrangement, a 10 ml vial of insulin will cost ₹73, against the earlier procurement price of ₹99.60. Purchasing a four-month supply at the revised rate is expected to save the government ₹18.50 crore.

The manufacturer agreed to reduce the price subject to timely payment. KMSCL assured the company that payments would be cleared within two months.

Direct negotiations have also brought down the price of erythropoietin injections, used in treating kidney patients and certain patients undergoing chemotherapy or living with HIV. The procurement cost has fallen from ₹110 to ₹80 per dose.

The sharpest reduction involves risdiplam, a medicine supplied free to patients with spinal muscular atrophy (SMA). KMSCL previously purchased the drug from Swiss pharmaceutical company Roche at ₹5.52 lakh per bottle.

Indian manufacturer Natco Pharma developed a generic alternative, but its sale was delayed until a Supreme Court ruling on October 17 last year cleared the way for distribution.

Although Natco initially quoted ₹15,900 per bottle, KMSCL negotiated a price of ₹8,000. Fresh supplies of the SMA medicine are expected shortly.

Encouraged by these agreements, the government plans to extend direct negotiations to other essential medicines facing shortages.

KMSCL’s annual procurement contracts were finalised in March. Once the existing one-year agreements expire, the government intends to phase out intermediaries and purchase future hospital supplies directly from manufacturers.

The proposed shift aims to strengthen medicine availability while securing sustained savings for the state’s public healthcare system.

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Hindusthan Samachar / Arun Lakshman