Revolutionizing Affordable Healthcare in India: Pradhan Mantri Jan Aushadhi Kendra

“My son has some medical issues. I used to buy Rs.5,000 medicines for him per month and could not afford it. But my neighbour told me about affordable medicines available at ‘Modi ji ki dukaan’. I went there and purchased medicines for Rs.2,000 only. I am happy that Modi ji is helping us.” These were the words of a mother on the occasion of Janaushadhi Diwas Celebrations.

She get her medicines from one of the 8640 Pradhan Mantri Jan Aushadhi Kendras (PMJAKs) spread across all 740 districts of our Nation. In recent years, the Indian government has made significant efforts to increase access to affordable healthcare for all citizens, including those in rural and remote areas. One of the key initiatives in this regard is the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP), which aims to provide high-quality generic medicines at affordable prices through a network of Pradhan Mantri Jan Aushadhi Kendras (PMJAKs) across the country. With over 8,000 PMJAKs currently operational and a steadily growing customer base, the PMBJP has become a critical component of India’s healthcare ecosystem. What’s more, a person can find the nearest Kendra by simply searching through the “Locate PMBJP Kendra” tab on the website.

Year Wise Progress in Total Number of PMBJP Kendras

The PMBJP offers around 1451 drugs and 240 surgical instruments in its product basket, ensuring that a wide range of medical requirements are met. To expand the utility of the Kendras, the PMBJP has taken the decision to include 75 AYUSH drugs, especially Ayurvedic medicines. The product basket is regularly updated to meet the changing needs of the population. In 2018, the PMBJP launched the “Janaushadhi Suvidha Oxy-Biodegradable Sanitary Napkin” to ensure easy availability of menstrual health services to all women across the country. These pads are now available for sale in all PMBJP Kendras at just ₹ 1.00 per sanitary pad. So far, more than 19.00 crore pads have been sold through PMBJP Kendras. Recently, the PMBJP launched several Nutraceutical products to help boost the immunity of all, including women and children. PMBJP prices of all these products are 50%-90% lesser than the one offered in the market.

The need for such a scheme arose when despite the country being one of the leading exporters of generic medicines to the world, the majority of Indians lack sufficient access to affordable medicines. The branded generic medicines are sold at significantly higher prices than their un-branded generic equivalents, though they are identical in their therapeutic value.

With an objective of making quality generic medicines available at affordable prices to all especially for the poor and the deprived ones, Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) was launched by the Department in 2008. The first Jan Aushadhi Kendra was opened on 25.11.2008 at Amritsar, Punjab. The scheme didn’t take off and by 31.03.2014, only 80 stores were functioning. In 2015, the Committee of Secretaries set up by Hon’ble Prime Minister to deliberate on health related issues had recommended that “Jan Aushadhi Kendras” should be expanded. Accordingly, a franchisee like model was adopted and an intensive media campaign in national and regional newspapers inviting individual entrepreneurs to apply for establishing and running PMBJP Kendra was undertaken. In response, the applications received were scrutinized and eligible applicants were assisted with drug license and other infrastructure facilities to open the Kendras. The gate was opened for private participation in procurement as well as sale of medicines.

Year wise Progress of Number of PMBJP Kendras and Sales therein

The target of opening 3000 Kendras was achieved in December 2017. Further, revised target of total 6000 outlets was achieved in March, 2020. As on 31.05.23, 8484 Janaushadhi Kendras are functional across the country. In the last financial year, the number of Kendras increased from 7557 to 8610, with the average monthly sales turnover per store also increasing from ₹ 51,000/- to ₹ 66,000/-. In addition, Kendras have been permitted to sell OTC and allied cosmetic products. A survey conducted by PMBI revealed that the total average sales per Kendra is coming up to ₹ 1.50 lacs p.m., including Jan Aushadhi medicines of ₹ 66,000/- and the rest from OTC products, nutraceuticals, and cosmetics.

To make the scheme more attractive, the incentive provided to the Kendra owners has been enhanced from existing ₹ 2.50 lakh to ₹ 5.00 lakh, maximum @ ₹ 15,000 per month. This increase in incentives is expected to attract more entrepreneurs to open PMBJP Kendras. Further, one time incentive of ₹ 2 lakh for computer and furniture has been approved for stores opened by women, SC and ST & any entrepreneur in aspirational districts or North-Eastern States.

The PMBJP played a crucial role in providing essential medical supplies during the COVID-19 outbreak. In the financial year 2021-22, the Kendras sold about 55 lakh face masks, 1.65 lakh units of sanitizers, 64 lakh tablets of Azithromycin, and 387 lakh Paracetamol Tablets. Under PMBJP, best quality N-95 facemask is being made available at only Rs. 25/- per unit at all PMBJKs. PMBI has also supplied drugs worth Rs. 30 crore to Ministry of External Affairs (MEA) for distribution to friendly countries. There are many medicines and OTC items, being used during the treatment of COVID-19, avail- able in PMBJP basket. As mentioned above, various items have been made available through PMBJPKs for citizens in their respective areas.

The scheme has gained popularity among the masses through events such as “Janaushadhi Diwas” which was celebrated by all PMBJP Kendra owners across the country on 7th March 2021. In the celebration, a wide range of activities were carried out to propagate the achievements of the scheme and create awareness about its benefits. All activities were organized in close co-ordination with Kendra owners, beneficiaries, students, media, doctors, pharmacists, NGOs, social workers and people’s representative like Hon’ble MPs, MLAs & local body members. Hon’ble Prime Minister himself spoke to the beneficiaries of the scheme through video confer- encing on the occasion of Jan Aushadhi Diwas on 7th March 2021.

The PMBJP has not only helped to bridge the gap between the availability and affordability of medicines, but it has also contributed significantly to India’s pharmaceutical industry. The industry has transformed into a vibrant sector, earning a reputation for producing low-cost vaccines and generic medicines globally. Currently, the Indian Pharma ranks third in pharmaceutical production by volume, growing at a steady CAGR of 9.43% in the last nine years. The pharma sector has consistently earned a trade surplus, with total pharma exports of ₹180555 crore (USD 24.35 Bn) against total pharma imports of ₹49436 crore (USD 6.66 Bn), generating a trade surplus of USD 17.68 Bn during 2020-21.

Moreover, the Indian pharmaceutical industry plays a significant role globally, with the highest number of USFDA compliant Pharma plants outside of the USA. With 500 API manufacturers contributing about 8% to the global API Industry, India is the largest supplier of generic medicines, manufacturing 60,000 different generic brands across 60 therapeutic categories. The country is also one of the biggest suppliers of low-cost vaccines in the world, with affordable HIV treatment and rightly making it the “pharmacy of the world.”

Pharma Sector’s Growth at Current Prices

*Estimated based on trend growth rate (CAGR) of output at 9.77% achieved during 2013-14 to 2019-20.

Source: National Accounts Statistics-2021, Ministry of Statistics and Programme Implementation.