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ESIC Mandates Procurement of Non-RC Drugs from Pradhan Mantri Bhartiya Janaushadhi Pariyojana

Noida, Uttar Pradesh, August 16, 2024 - The Employees' State Insurance Corporation (ESIC) has issued a directive to all its institutions nationwide to procure non-Rate Contract (RC) drugs exclusively from the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP). This decision aims to address concerns over the increasing cost of procuring branded medications through local purchases.

The ESIC has entered into a Memorandum of Understanding (MoU) with the Pharmaceuticals & Medical Devices Bureau of India (PMBI), the implementing agency for PMBJP, to facilitate the supply of medicines. PMBI will utilize its authorized distribution channel partners in each state and union territory to ensure the seamless delivery of medicines to ESIC and ESIS institutions.

The directive mandates all ESIC and ESIS institutions, including medical colleges, hospitals, dispensaries, and state directorates, to sign MoUs with their respective state/UT's PMBI authorized distribution channel partners. A standard operating procedure (SOP) has been provided to guide the procurement process.

This move aligns with the recommendations of the ESIC Standing Committee, which, in its 230th meeting held on January 31, 2024, advocated for procuring non-RC drugs through the Janaushadhi system. The decision is expected to result in significant cost savings for ESIC while ensuring the availability of quality generic medicines for insured persons.

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