Serum prices Covishield at Rs 400 for Centre, Rs 600 for private hospitals

Serum prices Covishield at Rs 400 for Centre, Rs 600 for private hospitals
Share This :

With India opening up Covid-19 vaccinations for all citizens over 18 from May 1, (SII) on Wednesday said it would price its vaccine Covishield at Rs 400 per dose for the central and state governments and Rs 600 per dose for At present, the Pune-based firm sells the vaccine at Rs 150 per shot to the Centre.

These are the prices for institutional sales, and not the maximum retail price, which will be announced later.

Hospitals say they are awaiting more clarity on the matter and the final price to be borne by the consumer would be known in a day or two. Typically, pharmaceutical firms sell medicines to hospitals through a trade channel, which has a 10-15 per cent margin.

SII Chief Executive Officer Adar Poonawalla told a television channel: “We are losing money at the central government’s mandated price of Rs 150 per dose. We have to pay 50 per cent of the price to AstraZeneca as royalty.”

SII is in the process of delivering the 100-million doses order the Centre placed with it in March-end; about 30-40 million doses remain to be delivered. The Centre also gave a suppliers’ credit of Rs 3,000 crore to SII recently. At Rs 400 per dose, this works out to be around 75 million doses.

Poonawalla has said the signing of contracts with will start in a couple of weeks and the supply by the third or fourth week of May.

, Serum prices Covishield at Rs 400 for Centre, Rs 600 for private hospitals,

SII said the vaccine prices were competitive as American vaccines were priced above Rs 1,500 per dose in the private market, while Russian and Chinese vaccines cost over Rs 750 per dose. “For the next two months, we will address the limited capacity by scaling up vaccine production. Going ahead, 50 per cent of our capacities will be served to the Government of India’s vaccination programme, and the remaining 50 per cent of the capacity will be for the state governments and private hospitals,” the firm said in a statement.

Joy Chakraborty, chief operating officer of Mumbai’s Hinduja Hospital, said the higher vaccine price could impact demand. “Currently we are vaccinating around 500 persons daily. We would aim to double the figure, but it depends on factors like demand, adequate vaccine availability, and infrastructure,” he said.

“We have tie-ups with a few corporate houses for vaccinating their employees in the age group of 45-60 years. We will explore more tie-ups. We will be able to carry out vaccination at multiple locations if corporates provide necessary infrastructure at their offices or plants. This way we would be able to increase the pace of vaccination,” he added.

SII is now making 65-70 million doses of Covishield at its Pune plant every month and has plans to ramp it up to 100 million. The world’s largest vaccine maker by volumes also said that owing to the “complexity and the urgency” of the situation, it is challenging to supply it independently to each corporate entity. “We would urge all corporate and private individuals to access the vaccines through the state-facilitated machinery and private health systems. After 4-5 months, vaccines will be made available in retail and free trade,” the company said.

, Serum prices Covishield at Rs 400 for Centre, Rs 600 for private hospitals, Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Source link

Share This :

Leave a Reply