The Supreme Court on Tuesday questioned the Centre over the wide gap between the maximum retail price (MRP) of medicines and the price at which retailers purchase them, asking whether the government could justify what it described as this ‘loot’ and allow manufacturers to ‘run amok’.

A bench of Justices Vikram Nath and Sandeep Mehta criticised the functioning of the National Pharmaceutical Pricing Authority (NPPA), describing it as a ‘totally defunct’ body, and questioned why the pricing system appeared to favour pharmaceutical manufacturers. The court reserved its verdict on two petitions concerning drug pricing and access to affordable medicines.

During the hearing, the bench cited an example of a medicine bought by retailers for Rs 15 but carrying an MRP of Rs 250. Questioning the disparity, it asked, “Can you show any justification for this loot,” adding, “The government is allowing this to happen.…