Vaccine price is too low to sustain: Kiran Mazumdar-Shaw

Kiran Mazumdar-Shaw, Executive Chairperson, Biocon on Sunday criticised the price cap for the Covid-19 vaccine set by the government for private hospitals.

Vaccine companies feel betrayed by the low price cap which is “too low to sustain,” according to Shaw.

Shaw, reacting to a media report on the government’s decision to allow private hospitals to charge ₹250 per dose for the Covid-19 vaccine, tweeted, “Covid Vaccine Jab Capped At Rs 250 At Private Hospitals: Government – understand vaccine cos feel betrayed as price is too low to sustain.”

Shaw further referred to the World Health Organization’s price cap of $3 per dose.

“If WHO has agreed to $3 per dose why beat them down to $2? We r crushing instead of incentivising vaccine industry,” she added in the tweet.

Shaw further explained these calculations in an additional tweet that read, “The 250 includes 100 for hospitals. Vaccine is only getting 150. Understand why vaccine makers are upset.”

The Government on Saturday said that private healthcare facilities participating in the Covid-19 vaccination drive can charge ₹250 per dose from beneficiaries.

The next vaccination drive is set to being from Monday where people above 60 years and those above 45 with co-morbidities can get vaccinated.

In a bid to speed up the vaccination drive, the Government will also allow private hospitals empanelled with PM Ayushman Bharat Yojana and Central Government Health Scheme (CGHS) will also offer the vaccination at their facilities.

While the vaccine will be administered free of cost at government facilities, private hospitals can charge ₹250 per dose, a decision conveyed to State health officials by Health Secretary Rajesh Bhushan during a video-conferencing, as per previous reports.

The Hindu BusinessLine