A
To completely abolish the manufacturing of non-scheduled drugs in the private sector.
B
To standardise import tariffs on active pharmaceutical ingredients coming from developing nations.
C
To cap the difference between the price at which a manufacturer sells to a trade channel and the MRP.
D
To subsidise freight charges for transporting essential medicines to remote rural dispensaries.
Correct answer: (c) To cap the difference between the price at which a manufacturer sells to a trade channel and the MRP.
Explanation
Option C is correct because trade margin rationalisation specifically targets capping the price gap between what manufacturers charge trade channels and the final Maximum Retail Price. Options A, C, and D misrepresent the concept of trade margins.
Same topic · past papers
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