COVAXIN: Bharat Biotech defends higher price for pvt markets: ' Rs 150 not sustainable':

Three days after COVID-19 vaccine manufacturer Bharat Biotech announced that it will be conducting clinical trials in the United States to support the marketing application for COVAXIN, it has now made a major announcement on the pricing of the vaccine for Central Government, State Governments, and Private Hospitals.  It has defended the higher pricing of its coronavirus vaccine in the private market, saying the supply price of the shot for the Centre is clearly not sustainable in the long run.

In an official statement, the Hyderabad-based firm said, "The supply price of COVAXIN to the Government of India at ₹ 150 / dose, is a non-competitive price and clearly not sustainable in the long run. Hence a higher price in private markets is required to offset part of the costs."

They added, "There are live examples of such pricing policies where Human Papillomavirus vaccine is priced for GAVI supplies at $ 4.5 / dose ( ₹ 320) but is also available in the private market at  ₹ 3500 / dose. Rotavirus vaccines are supplied to the Govt of India at ₹ 60/ dose but are also available in the private market at  ₹ 1700 / dose. The prices for COVID-19 vaccines internationally have varied between  $10 to $37 / dose, ( ₹ 730 -  ₹ 2700/ dose)."

Further explaining the high pricing, the vaccine manufacturer said, "One must remember that the pricing of vaccines and other pharmaceutical products heavily relies on a series of factors; the cost of goods & raw materials, product failures, at-risk product development outlays, product overages, the entire capital expenditure for setting up sufficient manufacturing facilities, sales and distribution expenses, procurement volumes and commitments besides other regular business expenditures."

Bharat Biotech Slashed Covaxin Price For State Govts In April

In April, the second wave was at its peak, Bharat Biotech had revised its vaccine price to Rs 400 per dose for state governments. The biotech company had initially offered its Covaxin vials at Rs 600 per dose to states and 1200 per dose to private hospitals. The decision was made in light of the critical pandemic situation faced by the country and the enormous challenges confronting the public health care system, the company had said.

COVAXIN efficacy

Back in January, the home-grown vaccine got a nod from the Drugs Controller General of India (DGCI). Against all odds, COVAXIN has shown overall 78% efficacy and 100% efficacy against severe COVID-19 disease as per interim results from Phase 3 trials. COVAXIN is a Whole Virion Inactivated Coronavirus Vaccine developed by Bharat Biotech in collaboration with ICMR and NIV.