Heart stents were the Center’s initial focus on cost capping steps. The financial viability of their goods on the Indian market after price capping was of major concern in business circles. Stents come in a variety of varieties, some of which are very common, while others use more creative ways to improve care outcomes.
For example, bare metal stents (BMS) are simple metal frames inserted in the blood vessel. Such various stent types come at very different prices, with BMS being capped at Rs 7,500 and Rs 60,000 being capped at bio-absorbable stents. In this sense, they reflect the costs associated with the product of innovation and manufacturing. Others claimed, though, that any newest stents, using the latest technology, would not be competitive on the Indian market— or would run at a loss. Therefore, many at the time asserted that it would stifle Indian innovation and that more advanced foreign products would not make it into India. A same price cap is set to be placed on hygiene products, with similar reactions from industry leaders.
Such a concept applies to other medical devices and knee replacements— another cost capping goal. Reductions in profit margins may cause producers to try to cut corners, resulting in less safe products or the use of inferior materials. This can lead to dangerous products or procedures in both a hygiene and medical context. One common fear at the time of the price cap was that the market would be flooded by mediocre and cheaply made Chinese products simply because their low cost of production enabled them to remain profitable.