Slashed vaccine cost: Private hospitals want difference amount refunded for stocks bought earlier

Hospitals are not sure if demand for precaution dose will pick up

Amid a sluggish demand from adults for the precaution dose, the offer by vaccine manufacturers to compensate the price difference with additional doses (following the slashing of vaccine prices) has left private hospitals peeved. Not sure if the demand will pick up, many hospitals are instead demanding a refund from the manufacturers.

The Private Hospitals and Nursing Homes Association (PHANA), which is deliberating on the issue, is all set to write to the manufacturers in a day or two asking them to make the offer optional. 

A day before the Centre rolled out the precaution dose drive for all adults on April 10, the two major vaccine manufacturers announced large cuts in the price of their vaccines.

The procurement price of Covishield, manufactured by Serum Institute of India, and Bharat Biotech’s Covaxin was slashed to ₹225 per dose, down from ₹600, and ₹1,200 respectively.

Along with 5% GST and ₹150 service charge collected by the private hospitals, each dose will now cost ₹386.25 for beneficiaries.

As private hospitals have huge stocks procured at the earlier prices, the manufacturers announced that they would compensate by supplying additional doses for the difference amount of the procurement price. 

PHANA president H.M. Prasanna told The Hindu on Thursday that the manufacturers have announced the offer of additional doses (for the difference amount in lieu of old stock purchased at a higher cost) without realising the ground reality.