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Centre Considers Precluding Online Drug Stores Over Data Misuse

The draft bill which was put on the public domain in July last year seeking feedback from stakeholders contained a provision for taking permission to operate an e-pharmacy.

• By Newsdesk
• New Delhi
• Mar 22, 2023

News

The Union Health Ministry is considering regulations and strict action against online pharmacies, including outright banning them, in response to worries about data privacy, industry malpractices, and the irrational sale of drugs. 

The central government may forbid the distribution of any drug via online mode by notification, according to the New Drugs, Medical Devices, and Cosmetics Bill, 2023's revised draft, which has been sent for inter ministerial consultation. The current Drugs and Cosmetics Act of 1940 is intended to be replaced by the New Drugs, Medical Devices and Cosmetics Bill, 2023.

A provision for obtaining permission to run an online pharmacy was included in the draft legislation that was made available to the public in July of last year in order to get input from interested parties. 

"No person shall sell, stock, exhibit, offer for sale, or distribute any drug by online mode (e-pharmacy) except under and in accordance with a license or permission issued in such manner as may be prescribed," the old bill stated. The updated draft bill has this clause removed.

In February, the Drugs Controller General of India (DCGI) served show-cause notices on 20 online pharmacies, including Tata 1mg, Amazon, Flipkart, NetMeds, MediBuddy, Practo, and Apollo, for allegedly selling drugs in violation of the law online. According to the notice, the DCGI had sent the order to all states and union territories in May and November 2019 as well as once more on February 3, 2023, in order to ensure that they took the necessary actions and complied with the requirements.