MedTech Manufacturers to Revise MRP After 5% GST Cut
The Central Drugs Standard Control Organisation (CDSCO) has issued an order directing medical device manufacturers and importers of Class C and D medical devices to update their Maximum Retail Price (MRP) in line with the revised Goods & Services Tax (GST) rates. Companies have been given a three-month window to affix stickers on their inventory reflecting the new prices.
This decision follows the government’s move on September 3, reducing GST on medical devices from 12% to 5%. The new directive also instructs state drug controllers to fast-track no-objection certificates (NOCs) so that manufacturers can alter labels without delay.
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Class C and D medical devices fall under moderate-to-high risk and high-risk categories, covering products such as bone fixation implants, pacemakers, stents, defibrillators, CT scans, and MRI machines.
The Department of Consumer Affairs (DoCA) had earlier allowed manufacturers to declare revised MRPs on unsold stock manufactured/imported before the GST cut, until December 31, 2025, or until the old stock is exhausted. DoCA also emphasized the need for manufacturers to advertise revised prices, ensuring transparency for end consumers.
Challenges in Implementation
Industry players have expressed concerns about feasibility. Small and medium-sized companies with multiple SKUs often find it impractical to issue advertisements for each product or post price revisions on posters at retail outlets.
According to Rajiv Nath, Forum Coordinator at Association of Indian Medical Device Industry (AiMeD), recalling inventory for stickering would be highly disruptive. AiMeD has sought exemption from mandatory stickering, suggesting instead that manufacturers publish revised MRPs on their websites for wider consumer access.
Meanwhile, the National Pharmaceutical Pricing Authority (NPPA) is preparing sector-specific guidelines for smooth implementation, expected to be released next week.
Stay compliant and future-ready — Partner with Operon Strategist for smooth regulatory transitions in the MedTech sector.
Role of Operon Strategist
At Operon Strategist, we recognize the challenges that medical device manufacturers face during regulatory transitions, such as MRP revisions and GST alignment. Our team supports manufacturers by:
- Regulatory Compliance Consulting – Assisting in interpreting CDSCO and DoCA circulars.
- Labeling & Documentation Support – Guiding manufacturers through NOC applications and label modification processes.
- Strategic Advisory – Providing cost-effective solutions for compliance while minimizing disruption to supply chains.
With Operon Strategist’s expertise, manufacturers can navigate complex regulatory changes with confidence while maintaining business continuity.
